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FOR IMMEDIATE RELEASE
OLDWICK - NOVEMBER 19, 2020 09:50 AM (EST)
AM Best has assigned a Financial Strength Rating of A- (Excellent) and a Long-Term Issuer Credit Rating of “a-” to Vantage Risk Ltd. (Vantage) (Bermuda). The outlook assigned to these Credit Ratings (ratings) is stable.
The ratings reflect Vantage’s balance sheet strength, which AM Best categorizes as very strong, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management (ERM).
Vantage is a newly formed Bermuda reinsurer headed by established and noteworthy industry professionals with demonstrated track records. In the coming years, the company plans to expand into primary insurance lines and operate as Vantage Group. Dinos Iordanou, formerly of Arch Capital Group Ltd., will serve as a non-executive chairman for the greater group, with Greg Hendrick, formerly of AXA XL, serving as the group’s CEO. In addition, the group has appointed Chris McKeown and Jack Kuhn to run the reinsurance and insurance operations, respectively. Finally, Aurora Swithenbank, formerly of Goldman Sachs, has been hired to serve as the group’s chief financial officer.
The very strong balance sheet assessment is based on Vantage’s financing structure that projects supportive risk-adjusted capital that meets AM Best’s guidelines for newly formed organizations. This incorporates supportive risk-adjusted capital levels through a five-year start-up period. AM Best assesses Vantage’s operating performance as adequate based on the clearly defined business plan that contemplates a level of implementation and execution risk for a newly formed entity. AM Best views Vantage’s business profile as limited, given the execution risk associated with entering a highly competitive market. This risk is mitigated somewhat by the management team’s strong track record in the insurance and reinsurance industries. Furthermore, Vantage’s business profile assessment reflects that, as a new market entrant, the company will require a period to establish its brand and market position. A clearly defined ERM structure includes risk appetite and tolerance statements that focus on concerns specific with Vantage’s business profile. The company’s risk management benefits from the depth and breadth of the procedures and policies designed by the experienced management team.
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 media use of Best’s Credit Ratings and AM Best press releases, please view Guide for Media - Proper Use of Best’s Credit Ratings and AM Best Rating Action Press Releases.
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 New York, London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City.