A.M. Best Rating

Rating Remains A (Excellent)

A.M. Best Company affirmed the financial strength rating of Arkansas Blue Cross and Blue Shield as A (Excellent) in 2007. A.M. Best stated that the rating outlook is stable. Arkansas Blue Cross had been rated A- (Excellent) from 1994 to 2004.

A rating from A.M. Best represents an independent opinion from the leading provider of insurer ratings of a company’s financial strength and ability to meet its obligations to policyholders.

Rating Rationale

A.M. Best based its rating on Arkansas Blue Cross':

• Significant market share;
• Considerable capital strength;
• Broad suite of products;
• Extra-regional alliances.

Affiliate Ratings

A.M. Best also affirmed A (Excellent) ratings in 2009 for two Arkansas Blue Cross and Blue Shield affiliates: USAble Corporation and HMO Partners, Inc. (Health Advantage).

A.M. Best noted that USAble Corporation continues to add value to Arkansas Blue Cross through activities such as claims administration and other administrative services for self-insured plans. HMO Partners is cited as having strong membership growth, favorable operating performance and consistent capital development.