A.M. Best Revises Outlook of South Carolina Farm Bureau Group to Stable

OLDWICK, N.J.--(Business Wire)--
A.M. Best Co. has revised the outlook to stable from negative and
affirmed the financial strength rating of A- (Excellent) and issuer
credit ratings (ICR) of "a-" of South Carolina Farm Bureau Group
(SCFB) and its members, South Carolina Farm Bureau Mutual Insurance
Company and Palmetto Casualty Insurance Company. All companies are
domiciled in Columbia SC.

The ratings reflect SCFB's strong risk-adjusted capitalization,
comprehensive reinsurance program, consistent investment income and
strong local market presence. The ratings also recognize SCFB's
sponsorship by the South Carolina Farm Bureau Federation, which
facilitates marketing efforts and enhances customer loyalty and
affinity. The stable outlook is based on reduced catastrophe exposure
and improved stress tested risk-adjusted capitalization.

SCFB's negative rating attributes include its geographic
concentration, exposure to catastrophic storm losses and dependence on
reinsurance. In addition, as a result of SCFB's reduced net premium
and high reinsurance costs, its expense ratio has become elevated.

For Best's Ratings, an overview of the rating process and rating
methodologies, please visit www.ambest.com/ratings.

Founded in 1899, A.M. Best Company is a global full-service credit
rating organization dedicated to serving the financial and health care
service industries, including insurance companies, banks, hospitals
and health care system providers. For more information, visit
www.ambest.com.

A.M. Best Co.
Analysts
Frederick DeLeon, 908-439-2200, ext. 5175
frederick.deleon@ambest.com
or
Gary Davis, 908-439-2200, ext. 5665
gary.davis@ambest.com
or
Public Relations
Jim Peavy, 908-439-2200, ext. 5644
james.peavy@ambest.com
or
Rachelle Morrow, 908-439-2200, ext. 5378
rachelle.morrow@ambest.com

Copyright Business Wire 2008