AM Best Removes From Under Review With Negative Implications and Downgrades Credit Ratings of American Heritage Life Insurance Company

AM Best has removed from under review with negative implications and downgraded the Financial Strength Rating to A (Excellent) from A+ (Superior) and the Long-Term Issuer Credit Rating to “a+” (Excellent) from “aa-” (Superior) of American Heritage Life Insurance Company (American Heritage) (Jacksonville, FL). The outlook assigned to these Credit Ratings (ratings) is stable.

The ratings reflect American Heritage’s balance sheet strength, which AM Best assesses as strong, as well as its strong operating performance, neutral business profile and appropriate enterprise risk management.

The downgrading of American Heritage’s ratings is not a reflection of a change in its credit worthiness.

These rating actions follow the April 1, 2025, announcement by StanCorp Financial Group Inc. (StanCorp) that the acquisition of American Heritage has been finalized. The transaction was financed by the ultimate parent, Meiji Yasuda Life Insurance Company (Meiji Yasuda), and the ratings are reflective of American Heritage receiving one notch of lift from Meiji Yasuda. Expanding its U.S. business has been a focal point of Meiji Yasuda over the last few years and this additional employer voluntary benefits business is of strategic importance in carrying out the ultimate parent’s growth strategy.

AM Best expects that any additional capital needed to support premium growth at American Heritage will come from StanCorp and Meiji Yasuda should the company need it. The integration of the acquired employer voluntary benefits business is expected to deepen the expertise and capabilities of StanCorp as well. Moreover, there will be no name change for American Heritage in the short term as it is a well-known brand in the market. The execution risk of the business integration will be monitored by AM Best over the medium term.

This press release relates to Credit Ratings that have been published on AM Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best's Credit Ratings. For information on the proper use of Best’s Credit Ratings, Best’s Performance Assessments, Best’s Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best’s Ratings & Assessments.

AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.

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