AM Best has revised the outlooks to negative from stable and affirmed the Financial Strength Rating of A- (Excellent) and the Long-Term Issuer Credit Rating of “a-” (Excellent) of First Catholic Slovak Ladies Association of the United States of America (FCSLA) (Beachwood, OH).

The Credit Ratings (ratings) reflect FCSLA’s balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management.

The revised outlooks to negative from stable reflect pressures on FCSLA’s operating performance as the company continues to operate in a competitive environment that has impacted premium growth materially and challenged profitability. Over the near term, the company is launching new products in order to grow premium; however, new business strain associated with these new products will impact operating earnings further. Additionally, FCSLA continues to implement various initiatives to implement expense efficiencies to improve earnings going forward.

FCSLA’s balance sheet strength is driven by the strongest assessment of risk-adjusted capitalization, as measured by Best’s Capital Adequacy Ratio (BCAR). The company has access to a line of credit if needed and liquidity metrics remain in line with peers. FCSLA maintains a conservative investment portfolio comprising mostly investment-grade fixed-income investments. However, invested assets have declined in recent years, which continued through the first half of 2025.

FCSLA is a fraternal benefit society that offers annuity and life insurance products to its members. The organization actively promotes the culture, heritage, and awareness of the Slavic nationalities. The company offers products nationally and is licensed in 48 states, as well as Washington DC. Premiums are concentrated as 80% of direct premiums written are individual annuity products.

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.

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