Hallmark Life and Hallmark General have both received Insurer Financial Strength Ratings of ‘BBB+’ from Standard &
||An insurer rated 'AAA' has extremely strong financial security characteristics. 'AAA' is the highest insurer financial
strength rating assigned by S&P Global Ratings.
||An insurer rated 'AA' has very strong financial security characteristics, differing only slightly from those rated
||An insurer rated 'A' has strong financial security characteristics but is somewhat more likely to be affected by
adverse business conditions than are insurers with higher ratings.
||An insurer rated 'BBB' has good financial security characteristics but is more likely to be affected by adverse
business conditions than are higher-rated insurers.
|'BB, B, CCC, and CC'
||An insurer rated 'BB' or lower is regarded as having vulnerable characteristics that may outweigh its strengths.
'BB' indicates the least degree of vulnerability within the range; 'CC' the highest.
||An insurer rated 'BB' has marginal financial security characteristics. Positive attributes exist, but adverse business
conditions could lead to insufficient ability to meet financial commitments.
||An insurer rated 'B' has weak financial security characteristics. Adverse business conditions will likely impair
its ability to meet financial commitments.
||An insurer rated 'CCC' has very weak financial security characteristics and is dependent on favourable business
conditions to meet financial commitments.
||An insurer rated 'CC' has extremely weak financial security characteristics and is likely not to meet some of its
||An insurer rated 'R' is under regulatory supervision owing to its financial condition. During the pendency of the
regulatory supervision, the regulators may have the power to favour one class of obligations over others or pay some
obligations and not others. The rating does not apply to insurers subject only to nonfinancial actions such as market
|'SD or D'
||An insurer rated 'SD' (selective default) or 'D' is in default on one or more of its insurance policy obligations
but is not under regulatory supervision that would involve a rating of 'R'.
The 'D' rating also will be used upon the filing of a bankruptcy petition or the taking of similar action if payments
on a policy obligation are at risk. A 'D' rating is assigned when S&P Global Ratings believes that the default
will be a general default and that the obligor will fail to pay substantially all of its obligations in full in accordance
with the policy terms.
An 'SD' rating is assigned when S&P Global Ratings believes that the insurer has selectively defaulted on
a specific class of policies but it will continue to meet its payment obligations on other classes of obligations.
An 'SD' includes the completion of a distressed exchange offer. Claim denials due to lack of coverage or other legally
permitted defenses are not considered defaults.
||An insurer designated 'NR' is not rated.
Ratings from ‘AA’ to ‘CCC’ may be modified by the addition of a plus (+) or minus (-) sign to show relative standing
within the major rating categories. Refer to the Standard & Poor’s website for further details: www.standardandpoors.com.