Latest news with #IssuerCreditRating
Business Wire
2 days ago
- Business
- Business Wire
AM Best Revises Issuer Credit Rating Outlook to Negative for Palmetto Surety Corporation
OLDWICK, N.J.--(BUSINESS WIRE)-- AM Best has revised the outlook to negative from stable for the Long-Term Issuer Credit Rating (Long-Term ICR) and affirmed the Financial Strength Rating (FSR) of B (Fair) and the Long-Term ICR of 'bb+' (Fair) of Palmetto Surety Corporation (Palmetto) (headquartered in Mount Pleasant, SC). The outlook of the FSR is stable. The Credit Ratings (ratings) reflect Palmetto's balance sheet strength, which AM Best assesses as adequate, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management (ERM). The revised Long-Term ICR outlook to negative from stable reflects the pressure on Palmetto's overall balance sheet strength assessment, as well as risk management given the challenges related to the timely collection and reporting of its premiums and agents' balances that in 2024, resulted in a reduction in admitted assets and corresponding decline in overall surplus. Concerns related to ERM relate to management's failure to collect its premium in a timely manner and its consequential effects on capital management. Negative rating action could occur if there continues to be volatility of Palmetto's risk-adjusted capitalization, as measured by Best's Capital Adequacy Ratio (BCAR), or if the overall balance sheet strength assessment deteriorates further as a result of a continued uptick of uncollected premiums and agents' balances in the course of collection. Additionally, negative rating action could occur if the company fails to strengthen its risk management, accounting and reporting controls resulting in the continued augmentation of uncollected premiums and outstanding agents' balances in the course of collection. Management is aware of the over 90 aging of uncollected premium receivables and has been instituting better collections procedures to improve the overall non-admitted assets for the company. This press release relates to Credit Ratings that have been published on AM Best's website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best's Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best's Credit Ratings. For information on the proper use of Best's Credit Ratings, Best's Performance Assessments, Best's Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best's Ratings & Assessments.
Yahoo
23-05-2025
- Business
- Yahoo
AM Best Revises Issuer Credit Rating Outlook to Positive for MS Amlin AG (MS Reinsurance)
LONDON, May 23, 2025--(BUSINESS WIRE)--AM Best has revised the outlook to positive from stable for the Long-Term Issuer Credit Rating (Long-Term ICR) and affirmed the Financial Strength Rating (FSR) of A+ (Superior) and the Long-Term ICR of "aa-" (Superior) of MS Amlin AG (MS Reinsurance) (Switzerland). The outlook of the FSR is stable. The Credit Ratings (ratings) reflect MS Reinsurance's balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, neutral business profile and appropriate enterprise risk management. In addition, MS Reinsurance's ratings benefit from rating enhancement, in the form of lift, due to explicit support provided by its ultimate parent, MS&AD Insurance Group Holdings, Inc. (MS&AD). MS Reinsurance receives explicit group support through a parental guarantee issued by MS Reinsurance's intermediate parent, Mitsui Sumitomo Insurance Company, Limited (MSI). The revision of the Long-Term ICR outlook to positive reflects the growing profile of MS Reinsurance within the MS&AD group, along with its improving financial performance. The recovery in operating profitability over several years has been driven by MS Reinsurance's improved underwriting performance, which has benefitted from a series of remedial measures put in place to reposition its underwriting portfolio, including reducing catastrophe exposure and exiting underperforming accounts, as well as favorable market conditions. The result of these measures is evidenced by the 95% and 96% combined ratio (as calculated by AM Best, based on Swiss Code of Obligations) that MS Reinsurance achieved in 2024 and 2023, respectively, or approximately 90% for both years, under IFRS 17. Prospectively, MS Reinsurance is expected to report profitable and less volatile underwriting results, reinforcing its position as a key subsidiary within the MSI group. MS Reinsurance's balance sheet strength assessment is underpinned by its risk-adjusted capitalisation being at the strongest level, as measured by Best's Capital Adequacy Ratio (BCAR). After declining to the very strong level in 2023, largely as a result of strong premium growth, the company's BCAR recovered to the strongest level in 2024, driven by a second consecutive year of profitability and the retention of earnings. MS Reinsurance is an international reinsurance company with key operating hubs in Zurich, Bermuda and the United States. The company is well-diversified by both line of business and geography. This press release relates to Credit Ratings that have been published on AM Best's website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best's Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best's Credit Ratings. For information on the proper use of Best's Credit Ratings, Best's Performance Assessments, Best's Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best's Ratings & Assessments. AM Best is a global credit rating agency, news publisher and data analytics provider specialising in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit Copyright © 2025 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED. View source version on Contacts Romeo BertiSenior Financial Analyst+44 20 7397 Tim PrinceDirector, Analytics+44 20 7397 Christopher SharkeyAssociate Director, Public Relations+1 908 882 Al SlavinSenior Public Relations Specialist+1 908 882
Yahoo
23-05-2025
- Business
- Yahoo
AM Best Revises Issuer Credit Rating Outlook to Positive for MS Amlin AG (MS Reinsurance)
LONDON, May 23, 2025--(BUSINESS WIRE)--AM Best has revised the outlook to positive from stable for the Long-Term Issuer Credit Rating (Long-Term ICR) and affirmed the Financial Strength Rating (FSR) of A+ (Superior) and the Long-Term ICR of "aa-" (Superior) of MS Amlin AG (MS Reinsurance) (Switzerland). The outlook of the FSR is stable. The Credit Ratings (ratings) reflect MS Reinsurance's balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, neutral business profile and appropriate enterprise risk management. In addition, MS Reinsurance's ratings benefit from rating enhancement, in the form of lift, due to explicit support provided by its ultimate parent, MS&AD Insurance Group Holdings, Inc. (MS&AD). MS Reinsurance receives explicit group support through a parental guarantee issued by MS Reinsurance's intermediate parent, Mitsui Sumitomo Insurance Company, Limited (MSI). The revision of the Long-Term ICR outlook to positive reflects the growing profile of MS Reinsurance within the MS&AD group, along with its improving financial performance. The recovery in operating profitability over several years has been driven by MS Reinsurance's improved underwriting performance, which has benefitted from a series of remedial measures put in place to reposition its underwriting portfolio, including reducing catastrophe exposure and exiting underperforming accounts, as well as favorable market conditions. The result of these measures is evidenced by the 95% and 96% combined ratio (as calculated by AM Best, based on Swiss Code of Obligations) that MS Reinsurance achieved in 2024 and 2023, respectively, or approximately 90% for both years, under IFRS 17. Prospectively, MS Reinsurance is expected to report profitable and less volatile underwriting results, reinforcing its position as a key subsidiary within the MSI group. MS Reinsurance's balance sheet strength assessment is underpinned by its risk-adjusted capitalisation being at the strongest level, as measured by Best's Capital Adequacy Ratio (BCAR). After declining to the very strong level in 2023, largely as a result of strong premium growth, the company's BCAR recovered to the strongest level in 2024, driven by a second consecutive year of profitability and the retention of earnings. MS Reinsurance is an international reinsurance company with key operating hubs in Zurich, Bermuda and the United States. The company is well-diversified by both line of business and geography. This press release relates to Credit Ratings that have been published on AM Best's website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best's Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best's Credit Ratings. For information on the proper use of Best's Credit Ratings, Best's Performance Assessments, Best's Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best's Ratings & Assessments. AM Best is a global credit rating agency, news publisher and data analytics provider specialising in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit Copyright © 2025 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED. View source version on Contacts Romeo BertiSenior Financial Analyst+44 20 7397 Tim PrinceDirector, Analytics+44 20 7397 Christopher SharkeyAssociate Director, Public Relations+1 908 882 Al SlavinSenior Public Relations Specialist+1 908 882
Yahoo
16-04-2025
- Business
- Yahoo
AM Best Downgrades Credit Ratings of Stillwater Insurance Company and Subsidiary
OLDWICK, N.J., April 16, 2025--(BUSINESS WIRE)--AM Best has downgraded the Financial Strength Rating (FSR) to B++ (Good) from A- (Excellent) and the Long-Term Issuer Credit Rating (Long-Term ICR) to "bbb+" (Good) from "a-" (Excellent) of Stillwater Insurance Company (SIC) (Santa Barbara, CA) and its wholly owned subsidiary, Stillwater Property and Casualty Insurance Company (SPAC) (Jericho, NY). These companies are collectively known as Stillwater Insurance Group (Stillwater). The outlook of the FSR has been revised to stable from negative and the outlook of the Long-Term ICR is negative. Concurrently, AM Best has downgraded the Long-Term ICR to "bb+" (Fair) from "bbb-" (Good) of WT Holdings, Inc. (Memphis, TN). Stillwater is ultimately owned by WT Holdings, Inc. The outlook of this Long-Term ICR is negative. The Credit Ratings (ratings) reflect Stillwater's balance sheet strength, which AM Best assesses as strong, as well as its marginal operating performance, neutral business profile and appropriate enterprise risk management. The rating downgrades reflect continued deterioration in Stillwater's net underwriting results that started in 2022, stemming from multiple fire losses and weather-related events, as well as rapid and atypical increases in inflation along with supply chain disruptions. Stillwater's homeowners' line of business accounts for 71.5% of its premium volume and has been impacted by increasing costs of material and labor along with supply chain constraints. Stillwater's auto line of business results also was impacted by higher prices for new and used vehicles, increased rental length periods and longer average repair times due to supply chain issues. As a result, loss ratios were higher, and the average severity of claim settlements increased during the year. The unfavorable net underwriting results continued in 2023, primarily due to losses from weather-related events, and to a smaller degree, inflationary pressures. The unfavorable underwriting results trend extended to 2024, primarily due to losses from weather-related events. Stillwater's operating performance results are more in line with other carriers that also have a marginal assessment level. In response, management has implemented a series of initiatives, including several rate actions, increased deductibles as well as reducing the company's geographic footprint in catastrophe prone areas in order to return to profitability. The negative outlook is based on Stillwater's decline in overall risk-adjusted capitalization and weakening balance sheet metrics, primarily driven by net underwriting losses in recent years resulting in a capital decline. The expectation is for operating metrics to improve in the near term to alleviate further pressure on capitalization. Further deterioration in overall risk-adjusted capitalization could potentially result in a downgrade in the balance sheet strength assessment. This press release relates to Credit Ratings that have been published on AM Best's website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best's Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best's Credit Ratings. For information on the proper use of Best's Credit Ratings, Best's Performance Assessments, Best's Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best's Ratings & Assessments. AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit Copyright © 2025 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED. View source version on Contacts Adib Nassery Senior Financial Analyst +1 908 882 2198 Christopher Sharkey Associate Director, Public Relations +1 908 882 2310 Joseph Burtone Director +1 908 882 1678 Al Slavin Senior Public Relations Specialist +1 908 882 2318 Sign in to access your portfolio
Associated Press
21-02-2025
- Business
- Associated Press
AM Best Upgrades Financial Strength Rating and Issuer Credit Rating of Virginia Surety Seguros de México, S.A. de C.V.
MEXICO CITY--(BUSINESS WIRE)--Feb 21, 2025-- AM Best has upgraded the Financial Strength Rating (FSR) to A (Excellent) from A- (Excellent) and the Long-Term Issuer Credit Rating (Long-Term ICR) to 'a' (Excellent) from 'a-' (Excellent) of Virginia Surety Seguros de México, S.A. de C.V. (VSSM). The outlook of these Credit Ratings (ratings) has been revised to stable from positive. AM Best also has affirmed the Mexico National Scale Rating (NSR) of ' (Exceptional) of VSSM. The outlook of the NSR is stable. The ratings reflect VSSM's balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management. The upgrading of the company's FSR and Long-Term ICR reflect the reinforcement of its balance sheet strength through the sustained strongest level of risk-adjusted capitalization, as measured by Best's Capital Adequacy Ratio (BCAR), underpinned by consistent profitable results. The ratings of VSSM also factor in its recent affiliation and strategic importance to Assurant, Inc., the ultimate parent. VSSM is a subsidiary of Virginia Surety Company, Inc., a general underwriting entity part of The Warranty Group, Inc. (TWG). In 2017, TWG completed a merger agreement with Assurant, Inc., with the purpose of combining insurance operations in various jurisdictions, including the operation in Mexico. VSSM started operations in Mexico in January 2017, focused on the auto insurance line of business and other property/casualty business lines. VSSM also underwrites specialty products, offering coverage in cases of theft or accidental damage for consumer technology products, such as cellphones, photographic and sound equipment and home appliances. VSSM places its coverage products through its network of manufacturers, distributors and retailers. VSSM operates under the same management as Assurant Daños México, S.A. and Assurant Vida México, S.A., subsidiaries of Assurant, Inc. These companies operate separately, but do not compete against each other. Moreover, VSSM takes advantage of the operational synergies derived from being part of the Assurant group. Negative rating actions could take place if substantial deterioration in VSSM's operating performance or aggressive growth in its premiums leads to a drop in risk-adjusted capitalization to levels no longer supportive of its current ratings. Negative rating actions could also take place if AM Best considers that parental support of VSSM or the strategic importance to its group deteriorates. While positive rating actions are unlikely, factors that could lead to them for VSSM include favorable results in operating performance. This press release relates to Credit Ratings that have been published on AM Best's website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best's Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best's Credit Ratings. For information on the proper use of Best's Credit Ratings, Best's Performance Assessments, Best's Preliminary Credit Assessments and AM Best press releases, please view. countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit Associate Financial Analyst +52-55-1102-2720 ext. 117 [email protected] Smith, CQF Associate Director +52 55-1102-2720 ext. 109 [email protected] Sharkey Associate Director, Public Relations +1 908 882 2310 [email protected] Slavin Senior Public Relations Specialist +1 908 882 2318 [email protected] KEYWORD: EUROPE LATIN AMERICA MEXICO CENTRAL AMERICA INDUSTRY KEYWORD: DATA ANALYTICS PROFESSIONAL SERVICES INSURANCE FINANCE SOURCE: AM Best Copyright Business Wire 2025. PUB: 02/21/2025 12:12 PM/DISC: 02/21/2025 12:13 PM
