BGB Securities: When The Market Rebounds, ASI Is "Well Positioned" To Take Advantage

During a recent trip with American Safety Insurance Holdings Ltd. ASI management, BGB Securities reports that the company is focusing on “building out its lines of business to take advantage of the next market cycle turn.” “We believe the P&C market will continue to inch closer to a turn following the recent worldwide catastrophes,” BGB Securities writes. “Those events coupled with increased stock buybacks and large reserve releases will likely reduce the balance sheet cushion enjoyed by most of the P&C industry. When the market does rebound, ASI is well positioned to take advantage of specialty customers who will likely be abandoned by their current insurance carriers.” American Safety Insurance closed Friday at $20.67.