UTICA — At a special meeting of Commercial Travelers Insurance Company (CT) held on April 25 in Utica, company policyholders approved the demutualization of Commercial Travelers and subsequent acquisition by National Guardian Life Insurance Company (NGL).
NGL is an independent mutual life insurance company headquartered in Madison, Wisconsin.
“The demutualization is an important step for NGL and CT. NGL entered into an affiliation with CT in April 2012. The five-year transition to full ownership has involved the dedication and efforts of many people. We look forward to continued growth and success of CT now as our New York–based subsidiary,” Mark Solverud, NGL president and CEO, said in a news release.
“CT is proud of our 134-year history in the Utica community. Joining NGL, another century old insurance company, offers stability to our policyholders and new opportunities for growth in the future,” Philip Grece, VP and director of student health at NGL, said.
Following the demutualization of CT, A.M. Best upgraded its Financial Strength Rating to A- (Excellent) and the Long-Term Issuer Credit Rating to “a-.” The rating upgrades also reflect CT’s “high level of integration” with NGL, including an ongoing intercompany reinsurance agreement, common management, and a variety of shared resources, per the release.
“This allows the NGL group of companies to market its products through CT in New York with the same “A-” rating held by NGL and its subsidiary, Settlers Life Insurance Company. Both NGL and Settlers are licensed in all states except New York,” Brian Hogan, senior VP and chief financial officer at NGL, said.