INSURANCE
From Times Staff and Wire Reports
Earthquake Leads to Ratings Cut for 20th Century: Standard & Poor’s Corp. reduced its ratings of 20th Century Industries’ two insurance units, citing an expected $325 million in claims due to the Northridge earthquake. S&P;’s ratings of the claims-paying abilities of 20th Century Insurance Co. and 21st Century Casualty Co. fell to A from AA. The insurers continue to be on CreditWatch with negative implications, the rating agency said. Payment of the claims will result in a $161.7-million charge against 20th Century’s first-quarter earnings, which S&P; said will wipe out 26% of its surplus.
