Best’s News & Research Service - September 16, 2021 04:52 PM (EDT)
AM Best Assigns Issue Credit Rating to The Hartford Financial Services Group, Inc.’s New Senior Unsecured Notes
- September 16, 2021 04:52 PM (EDT)
Oldwick //BestWire// - AM Best has assigned a Long-Term Issue Credit Rating (Long-Term IR) of “a-” (Excellent) to The Hartford Financial Services Group, Inc.’s (The Hartford) (headquartered in Hartford, CT) [NYSE: HIG] recently announced $600 million, 2.9% senior unsecured notes due September 2051. The outlook assigned to this Credit Rating (rating) is stable.
The proceeds from the sale of the notes will be used to redeem the outstanding $600 million principal amount of the company’s 7.875% fixed-to-floating rate junior subordinated debentures due 2042, which are redeemable at par on or after April 15, 2022. AM Best expects The Hartford’s financial leverage to increase modestly immediately following the issuance, but it will remain well within guidelines to support its current ratings. Coverage ratios remain favorable for The Hartford’s ratings, which were affirmed in late July 2021 (see related press release).
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, Best’s Preliminary Credit Assessments 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.