Research Update: OneAmerica Financial Partners Inc. 'A-' Rating Affirmed Following Revised Capital Model Criteria; Outlook Remains Stable

On Nov. 15, 2023, we published our revised criteria for analyzing insurers' risk-based capital (see "Insurer Risk-Based Capital Adequacy--Methodology And Assumptions"). We view OneAmerica Financial Partners' capital and earnings as very strong with redundancy at the 99.95% confidence level, per our revised risk-based capital model. We affirmed our 'A-' long-term issuer credit rating on OneAmerica and our 'AA-' long-term issuer credit and financial strength ratings on its core operating subsidiaries. The stable outlook reflects our expectation that OneAmerica will maintain its positions in its key markets while maintaining capital strength commensurate with its financial risk. On Feb. 21, 2024, S&P Global Ratings affirmed its 'A-' long-term issuer credit rating on OneAmerica Financial Partners Inc. We also affirmed our 'AA-' long-term

...Key strengths Key risks Strong competitive position supported by leading market position in niche care solutions business. Increased competition in the combination products market. Consistent sales growth across all lines of business. Constrained operating performance relative to peers. Very strong capital and earnings, with 99.95% redundancy per our revised risk-based capital model. Uncertain macroeconomic conditions....

Research Update