Best’s News & Research Service - May 21, 2026 10:36 AM (EDT)
AM Best Affirms Credit Ratings of Intact Financial Corporation and Its Core Subsidiaries
- May 21, 2026 10:36 AM (EDT)
//BestWire// - AM Best has affirmed the Financial Strength Rating (FSR) of A+ (Superior) and the Long-Term Issuer Credit Ratings (Long-Term ICRs) of “aa-” (Superior) of Intact Insurance Company, the lead company of Intact Financial Corporation (IFC) [TSX: IFC], as well as the core insurance subsidiaries of IFC. Concurrently, AM Best has affirmed the Long-Term ICR of “a-” (Excellent) and the Long-Term Issue Credit Ratings (Long-Term IRs) of IFC, the parent holding company. In addition, AM Best has affirmed the Long-Term ICR of “a-” (Excellent) of Intact U.S. Holdings Inc. (Intact US) (Delaware), an intermediate holding company of IFC. The outlook of these Credit Ratings (ratings) is stable. All companies are domiciled in Ontario, Canada, unless otherwise specified. (Please see below for a complete listing of the FSRs, Long-Term ICRs and Long-Term IRs for the core members of IFC.)
The ratings reflect IFC’s consolidated balance sheet strength, which AM Best assesses as very strong, as well as its strong operating performance, favorable business profile and appropriate enterprise risk management (ERM).
IFC’s balance sheet strength assessment is supported by the strongest level of risk-adjusted capitalization, as measured by Best’s Capital Adequacy Ratio (BCAR). In addition, the balance sheet continues to benefit from capital growth, a favorable liquidity profile, prudent investment approach and favorable reserve development trends. IFC’s surplus accumulation over the long term has been driven by capital raises (both debt and stock offerings) in support of acquisitions, as well as profitable operating earnings. As a result, financial leverage at times has been elevated slightly. However, AM Best notes that IFC’s financial leverage has improved significantly over the past two years following debt repayment and organic earnings and remains within the guidelines for the current ratings. Overall, IFC continues to benefit from the financial flexibility afforded through access to Canadian and U.S. capital markets.
AM Best assesses IFC’s operating performance as strong, reflecting consistently favorable underwriting and operating results in all geographic territories, which includes Canada, the United States, the United Kingdom and Ireland (UK&I). IFC delivered its strongest net income performance in 2025 with net income of $3.4 billion reported. This builds on solid results in prior years where earnings have been driven by sustained underwriting profitability and complemented by strong investment income. Following the strategic actions taken in the UK&I portfolio, which includes the exit of the personal lines market in the UK, the majority of underwriting activities in this market lie within the commercial lines business. AM Best expects these initiatives to further benefit consolidated operating performance going forward.
AM Best assesses IFC’s business profile as favorable, reflecting excellent geographic, product and channel diversification in the independent broker channel and direct to consumer. IFC is the largest provider of property/casualty insurance in Canada and benefits from a strong brand name recognition through its operating entities. Intact US provides the organization with further diversification and a North America-based platform to write specialty commercial lines. The UK&I segment expands IFC’s international footprint, with a focus on commercial and specialty insurance within that market.
AM Best views IFC’s ERM program as appropriate given the enterprise’s comprehensive risk management framework with strong internal controls and well-defined risk appetites, tolerances and mitigation plans.
The FSR of A+ (Superior) and the Long-Term ICRs of “aa-” (Superior) have been affirmed with stable outlooks for the following members of the Intact Financial Corporation:
· Atlantic Specialty Insurance Company
· Belair Insurance Company Inc.
· Homeland Insurance Company of New York
· Homeland Insurance Company of Delaware
· Intact Insurance Company
· Jevco Insurance Company
· Novex Insurance Company
· OBI America Insurance Company
· OBI National Insurance Company
· The Nordic Insurance Company of Canada
· Trafalgar Insurance Company of Canada
The following Long-Term IRs have been affirmed with stable outlooks:
Intact Financial Corporation—
- “a-” (Excellent) on $500 million, 5.459% senior unsecured medium-term notes, due 2032
- “a-” (Excellent) on CAD 250 million, 3.784% Senior unsecured medium-term notes, due 2038
- “a-” (Excellent) on CAD 250 million, Series 2, 6.40% senior unsecured medium-term notes, due 2039
- “a-” (Excellent) on CAD 100 million, Series 3, 6.2% senior unsecured medium-term notes, due 2061
- “a-” (Excellent) on CAD 250 million, Series 5, 5.16% senior unsecured medium-term notes, due 2042
- “a-” (Excellent) on CAD 425 million, Series 7, 2.85% senior unsecured medium-term notes, due 2027
- “a-” (Excellent) on CAD 300 million, Series 9, 1.928% senior unsecured medium-term notes, due 2030
- “a-” (Excellent) on CAD 300 million, 4.653% senior unsecured medium-term notes, due 2034
- “a-” (Excellent) on CAD 300 million, Series 10, 2.954% senior unsecured medium-term notes, due 2050
- “a-” (Excellent) on CAD 375 million, Series 12, 2.179% senior unsecured medium-term notes, due 2028
- “a-” (Excellent) on CAD 250 million, Series 13, 3.765% senior unsecured medium-term notes, due 2053
- “a-” (Excellent) on CAD 400 million, Series 14, 5.276 % senior unsecured medium-term notes, due 2054
- “a-” (Excellent) on CAD 300 million, Series 16, 4.645 senior unsecured medium-term notes, due 2060
- “bbb” (Good) on CAD 150 million, 5.25% preferred shares
- “bbb” (Good) on CAD 150 million, 5.5% non-cumulative preferred shares
- “bbb” (Good) on CAD 300 million, 7.338% subordinated debentures, due 2083
- “bbb” (Good) on CAD 250 million, 5.642% subordinated debentures, due 2086
- “bbb” (Good) on CAD 250 million, 4.841% non-cumulative five-year reset Class A Series 1 preferred shares
- “bbb” (Good) on CAD 250 million, 3.457% non-cumulative five-year rate reset Class A Series 3 preferred shares
- “bbb” (Good) on CAD 150 million, 5.2% non-cumulative fixed rate Class A Series 5 preferred shares
- “bbb” (Good) on CAD 150 million, 5.3% non-cumulative fixed rate Class A Series 6 preferred shares
- “bbb” (Good) on CAD 250 million, 6.012% non-cumulative five-year rate reset Class A Series 7 preferred shares
- “bbb” (Good) on CAD 150 million, 5.4% non-cumulative fixed rate shares Class A Series 9 preferred shares
The following indicative Long-Term IRs under the shelf registration have been affirmed with stable outlooks:
Intact Financial Corporation—
- “a-” (Excellent) on senior unsecured notes
- “bbb+” (Good) on subordinated unsecured notes
- “bbb” (Good) on Class A preferred shares
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 (BCR), Best’s Performance Assessments (PA), Best’s Preliminary Credit Assessments (PCA) 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.