What Verdica's 798 score means for Audit & Adjustment Co. Inc.
Audit & Adjustment Co. Inc. has earned a Verdica composite score of 798 out of 850, placing it in the "strong" band (740–799). This score reflects reliable compliance performance across the tracked dimensions of financial health, complaint handling, and regulatory history.
A score in this range indicates that the entity meets or exceeds baseline industry standards and has demonstrated consistent operational discipline. Readers should interpret this as a signal that the provider has maintained adequate financial reserves, managed customer complaints at rates consistent with or better than peers, and avoided significant regulatory enforcement actions. However, a score of 798 falls short of the "excellent" threshold (800–850), meaning there is room for improvement in at least one dimension. For a business owner or consumer evaluating insurance providers, this score suggests a vetted option with a solid track record, though due diligence should extend beyond this single metric.
How the sub-scores break down
Financial Strength: 700 — This sub-score reflects the entity's solvency and capital adequacy based on data from the National Association of Insurance Commissioners (NAIC). A score of 700 places it in the acceptable-to-strong range. In practical terms, a financial strength score of 700 indicates the insurer maintains sufficient reserves to pay claims and operate without regulatory intervention. It is notably lower than the complaint and regulatory sub-scores, suggesting this is where the composite score gains its primary drag. This does not signal distress; rather, it reflects either tighter capital ratios or operational costs relative to industry norms. Business owners should note that financial strength is a lagging indicator—it reflects historical performance and balance-sheet snapshots, not real-time solvency.
Complaints: 850 — This sub-score is derived from NAIC complaint ratios, which measure the volume of formal complaints filed against the entity relative to its size and premiums written. A score of 850 (the maximum possible) indicates that Audit & Adjustment Co. Inc. either receives very few complaints or resolves them effectively relative to industry benchmarks. Complaints tracked by the NAIC typically involve claim denials, delays, billing disputes, and policy misunderstandings. An excellent complaints sub-score suggests strong customer service operations and transparent claims handling.
Regulatory Actions: 850 — This sub-score reflects the entity's history of enforcement actions, license suspensions, fines, or consent orders issued by state insurance regulators. A perfect score indicates no material regulatory violations on record within the tracked period. This is a binary-heavy metric: providers either maintain clean standing or face documented enforcement. An 850 here demonstrates Audit & Adjustment Co. Inc. has complied with licensing, reserve, and conduct requirements across its operating jurisdictions.
What regulators track for insurance providers
The NAIC collects and publishes complaint data from all state insurance departments, calculating complaint ratios that normalize for company size. Regulators flag patterns such as repeated claim handling failures, premium collection issues, or policy cancellation disputes. Financial strength ratings derive from annual statutory filings that detail assets, liabilities, and reserve adequacy. Regulators monitor capital-to-claims ratios, reserve accuracy, and reinsurance arrangements to ensure carriers can absorb unexpected losses. Enforcement actions include fines for underreserving, unlicensed operations, unfair claim practices, and violations of consumer protection laws. These metrics move a provider's score up when compliance is sustained and down when violations emerge.
Bottom line
Audit & Adjustment Co. Inc. presents as a strong, low-risk provider based on its 798 score, with particular strength in complaint handling and regulatory compliance. Before engaging, verify licensing status in your state, review any independent customer feedback not yet indexed in Verdica's database, and confirm that its financial strength score aligns with your risk tolerance and claims-volume expectations.