Firemen's Fund Downgraded by A.M. Best

The financial strength rating of Fireman's Fund Insurance Companies (FFIC), Novato, California has been downgraded by A.M. Best Co. from A++ (Superior) to A (Excellent). A.M. Best says that they are concerned with the treatment of FFIC as a core subsidiary of the Allianz A. G., Munich, Germany which they say has resulted in recent and significant deterioration in the overall financial position of FFIC and its failure to meet targeted earnings. According to Best, FFIC's surplus position was eroded by $956 million of unrealized capital losses stemming from its significant position in equ...