Strong competitive position. Strong earnings profile. Increased business diversification. Very strong capitalization. Very strong liquidity. Challenging regulatory environment. Insurer of last resort. The insurer financial strength rating on Highmark Inc., d/b/a Highmark BCBS&Highmark Blue Shield (Highmark), is based on the company's strong competitive position and earnings profile, increased business diversification, and very strong capitalization and liquidity. Slightly offsetting these factors, Highmark operates in a challenging regulatory environment, with regulatory restrictions on its level of surplus, and acts as the insurer of last resort in the Western and Central regions of Pennsylvania. Highmark's competitive position is strong, supported by its strong brand name, local-market expertise, and diverse product portfolio. Highmark is the largest health insurer in Pennsylvania and West
