Best’s News & Research Service - November 03, 2020 09:30 AM (EST)
AM Best Affirms Credit Ratings of Trisura Guarantee Insurance Company and Its U.S. Affiliates
- November 03, 2020 09:30 AM (EST)
Oldwick //BestWire// - AM Best has affirmed the Financial Strength Rating (FSR) A- (Excellent) and the Long-Term Credit Rating (Long-Term ICR) of “a-” of Trisura Guarantee Insurance Company (Trisura Guarantee) (Toronto, Ontario, Canada). At the same time, AM Best has affirmed the FSR of A- (Excellent) and the Long-Term ICR of “a-” of Trisura Guarantee’s sister companies, Trisura Specialty Insurance Company (Trisura Specialty) and Trisura Insurance company (TIC), collectively referred to as Trisura US Insurance Group (Trisura US). TIC operates under an interpooling agreement with its immediate parent, Trisura Specialty. Trisura Specialty and TIC are domiciled in Oklahoma City, OK. The outlooks of these Credit Ratings (ratings) are stable.
The ratings of Trisura Guarantee reflect its balance sheet strength, which AM Best categorizes as very strong, as well as its adequate operating performance, neutral business profile and appropriate enterprise risk management (ERM).
Trisura Guarantee’s balance sheet strength is supported by consistent growth in surplus and conservative reserving practices. Operating performance remains favorable with solid underwriting performance, and is supported further by consistent solid net investment income over the prior five-year period.
Positive rating pressures may materialize if the company can reduce concentration risks successfully while maintaining a trend of favorable operating performance. Negative rating pressures may materialize if the company experiences a substantial reduction in the profitability of its core book of business.
The ratings of Trisura US reflect its balance sheet strength, which AM Best categorizes as very strong, as well as its adequate operating performance, limited business profile and appropriate ERM.
Trisura US has continued to perform in line with management’s expectations, and AM Best expects greater diversification with the recent inclusion of TIC as the company continues to scale operations.
Positive rating pressures could occur if the company is able to implement its growth strategy through a trend of consistent and favorable operating results in excess of peer performance. Negative rating pressures could occur if the company is unable to leverage existing relationships to obtain favorable business.
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.