A.M. Best Places Ratings of Town and Country Mutual Insurance Company under Review with Negative Implications

OLDWICK, N.J.--(Business Wire)--
A.M. Best Co. has placed the financial strength rating of B+ (Good) and issuer
credit rating of "bbb-" of Town and Country MutualInsurance Company (Town and
Country) (Bryant, AR) under review with negative implications.

These rating actions are due in part to the continuation of underwriting losses
in 2009, following a 40.5% surplus decline in 2008. Town and Country experienced
frequent and severe storm losses from wind, hail and tornados in 2008, resulting
in a $1.2 million underwriting loss. Furthermore, a severe ice storm in January
2009 also resulted in significant losses.

The ratings will remain under review pending further discussions with management
regarding its capital management strategies, including the potential purchase of
additional reinsurance, which is expected to be completed before the end of
April 2009.

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

The principal methodologies used in determining these ratings, including any
additional methodologies and factors, which may have been considered, can be
found at www.ambest.com/ratings/methodology.

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 2009