AM Best


A.M. Best Comments on the Ratings of Roins Financial Services Limited's Subsidiaries


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Joel Silverthorn

Senior Financial Analyst

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Jeffrey Mango, CPA

Assistant Vice President

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Jim Peavy

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FOR IMMEDIATE RELEASE

OLDWICK, N.J. - OCTOBER 12, 2010 12:00 AM (EDT)
A.M. Best Co. has commented that the ratings of the insurance subsidiaries of Roins Financial Services Limited (RFSL) (Ontario, Canada) are unchanged, following RSA Insurance Group plc's (RSA) [LSE: RSA] (United Kingdom) October 4, 2010 announcement that a definitive agreement was signed that encompassed the sale of GCAN Insurance Company (Ontario, Canada) by the private equity department of the Ontario Teachers' Pension Plan (OTPP) to RFSL, its Canadian holding company.

In A.M. Best's opinion, the transaction's size, after considering the proposed financing structure for the sale, does not materially influence the ratings of RFSL's insurance subsidiaries. However, the progression of the transaction will be monitored by A.M. Best to its completion.

The principal methodology used in determining these ratings is Best's Credit Rating Methodology - Global Life and Non-Life Insurance Edition, which provides a comprehensive explanation of A.M. Best's rating process and highlights the different rating criteria employed. Additional key criteria utilized include: "Risk Management and the Rating Process for Insurance Companies"; "Understanding BCAR for Property/Casualty Insurers"; "Rating Members of Insurance Groups"; and "A.M. Best's Ratings & the Treatment of Debt." Methodologies can be found at www.ambest.com/ratings/methodology.

Founded in 1899, A.M. Best Company is a global full-service credit rating organization dedicated to serving the financial and health care service industries, including insurance companies, banks, hospitals and health care system providers.

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