Friday, February 8, 2013
A.M. Best Gives Thumbs Up to VSP and Its Subsidiaries
A.M. Best Co. has affirmed the financial strength rating (FSR) of A (Excellent) and the issuer credit ratings (ICR) of “a” of Vision Service Plan (VSP), according to a VSP spokesperson. The spokesperson noted that VSP possesses a significant share of the vision care benefits market in the United States due to its strong brand recognition, wide-array of products, extensive provider network and reputation for superior customer service. The organization’s overall revenue has grown in recent years primarily because of increased sales and growth within its existing customer base. The company also derives non-regulated revenue from its three non-insurance business segments—eyewear, optics and practice management software. A.M. Best reportedly believes VSP is well-positioned at its current ratings. Future negative rating actions could occur if the organization’s risk-adjusted capital materially decreases, operating results decline considerably and/or financial leverage materially exceeds the guidelines for its current ratings. The Aa rating also applies to the following VSP subsidiaries: Vision Service Plan Insurance Company (CT) , Vision Service Plan Insurance Company (MO) , Mid-Atlantic Vision Service Plan Inc. , Eastern Vision Service Plan Inc. , Vision Service Plan (OH) , Vision Service Plan (WA) , Indiana Vision Services Inc. , Massachusetts Vision Service Plan , Vision Services Plan Inc. Oklahoma , Alaska Vision Services Inc. , Vision Service Plan Inc. (NV) , Vision Service Plan of Idaho Inc. , Wisconsin Vision Service Plan Inc. Read more.