Noting qualities such as its strong risk-adjusted capitalization and niche market position in the retirement and pension plan segments, A.M. Best has affirmed the ratings of Mutual of America Life Insurance Co.

Referred to on its website as “Mutual of America,” the company, headquartered on Park Avenue in New York City, has offered products, including variable universal life and group life and disability insurance, since 1945.

A.M. Best affirmed the financial strength rating of “A+” (Superior) and issuer credit rating of “aa-” of the company with a stable outlook on both ratings.

The ratings service also noted “the company’s conservative and less volatile general account investment portfolio” and increasing new business premium trends from its various retirement based wealth accumulation and savings plan products as reasons for the ratings affirmation.

On a risk-adjusted basis, A.M. Best said, Mutual of America’s capitalization remains “very strong,” and affords it a significant level of financial strength and opportunities to support growing its market share in highly competitive retirement and pension plan businesses.

The ratings service noted the company’s recent focus on improving its market share by increasing its salaried sales force, dedicating additional marketing resources to selling participant focused products and services and maintaining very competitive prices on the products it offers, all of which have had the effect of reducing near-term profitability.

A.M. Best also noted the company’s conservative investment portfolio underlying its general account has insulated the company with minimum losses during the recent financial market volatility.

Offsetting factors acknowledged by the rating service include modest net income or net losses in recent years, which are caused by the continued funding of upfront costs and pricing enhancements to support long-term growth, according to A.M. Best.

“In addition, [Mutual of America] competes in an environment with companies that are larger and have more resources, and where new entrants may place pressure on margins,” A.M. Best said.