[PapaPhil]

45 Years as a risk management consultant: The only rating system that matters is A.M. Best, which around 2012 declined to rate both companies mentioned because thy did not have the reserves to sufficiently pay claims. Demotech sprung up as an alternative to A.M. Best for rating the financial solvency of these small, mostly Florida-based companies. Their standards are laughable compared to A.M. Best; no insurance professional would consider them a reliable rating organization. Understand that the lack of a Best rating doesn't mean the companies haven't paid claims, only that their reserves (the amount of money available to actually pay claims) are to small to predict the likelihood of being able to pay claims in a catastrophic occurrence (i.e.: hurricane). Think of it as Consumer Reports vs some popup "best widgets of 2018" website.