Press Release - NOVEMBER 08, 2018

A.M. Best Upgrades ICRs of Castle Harbour Ins. Ltd., Harrington Sound Ins. Ltd.; Affirms Ratings of Colliers Bay Ins. Ltd.

 Dan Teclaw
Senior Financial Analyst
+1 908 439 2200, ext. 5829

Susan Molineux
Associate Director
+1 908 439 2200, ext. 5829

Christopher Sharkey
Manager, Public Relations
+1 908 439 2200, ext. 5159

Jim Peavy
Director, Public Relations
+1 908 439 2200, ext. 5644


A.M. Best has upgraded the Long-Term Issuer Credit Ratings (Long-Term ICR) to “a+” from “a” and affirmed the Financial Strength Rating (FSR) of A (Excellent) of Castle Harbour Insurance Limited (Castle Harbour) and Harrington Sound Insurance Limited (Harrington). A.M. Best also has affirmed the FSR of A (Excellent) and the Long-Term ICR of “a” of Colliers Bay Insurance Limited (Colliers) (Cayman Islands) (together these three companies are known as the captives). The outlook of these Credit Ratings (ratings) is stable. All companies are domiciled in Bermuda, unless otherwise specified.

The ratings of Castle Harbour and Harrington reflect their balance sheet strength, which A.M. Best categorizes as strongest, as well as their strong operating performance, neutral business profile and appropriate enterprise risk management (ERM).

The ratings of Colliers reflect its balance sheet strength, which A.M. Best categorizes as strongest, as well as its adequate operating performance, limited business profile and appropriate ERM.

The companies are captive insurance companies for Schlumberger Limited, a leading provider of technology, integrated project management and information solutions to customers working in the oil and gas industry worldwide. The ratings consider the captives’ critical role as part of the parent company and their excellent operating performance during the past five years, providing tailored insurance coverage for certain property/casualty risks to subsidiaries of the parent. A.M. Best views the captives’ management and corporate strategy as positive rating factors, given the group’s conservative underwriting, operational goals and transparency. ERM is appropriate given the impact on its conservative risk culture, defined risk controls, and optimization of the captives’ capital and surplus. The business profiles are assessed as neutral, though they are single parent captives, as each writes a broad scope of business and has significant geographic diversification. The captives also carry relatively large limits in their general liability and property lines of business. A.M. Best also recognizes the financial flexibility afforded the captives by the well-rated parent.

Colliers’ rating attributes are identical to those described above. However, this captive covers the seismic acquisition risks for Schlumberger Limited, which will no longer be needed, as Schlumberger Limited is in the process of divesting the assets of WesternGeco Seismic Holdings Ltd., the subsidiary for which Colliers provided coverage. As a run-off entity, it will have weaker operating performance over time and a finite business profile. The company, does, however, receive rating enhancement from its parent based on its role and integration within the parent’s organization and A.M. Best’s expectation that management will continue to maintain the strongest level of capital in the captive to support any risks through the run-off period.

A.M. Best remains the leading rating agency of alternative risk transfer entities, with more than 200 such vehicles rated in the United States and throughout the world. For current Best’s Credit Ratings and independent data on the captive and alternative risk transfer insurance market, please visit

This press release relates to Credit Ratings that have been published on A.M. 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 A.M. Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Understanding Best’s Credit Ratings. For information on the proper media use of Best’s Credit Ratings and A.M. Best press releases, please view Guide for Media - Proper Use of Best’s Credit Ratings and A.M. Best Rating Action Press Releases.

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