Best’s News & Research Service - November 01, 2022 02:47 PM (EDT)
AM Best Revises Issuer Credit Outlook to Positive for Jackson National Life Insurance Company and Its Affiliates
- November 01, 2022 02:47 PM (EDT)
Oldwick //BestWire// - AM Best has revised the outlook to positive from stable for the Long-Term Issuer Credit Rating (Long-Term ICR) and affirmed the Financial Strength Rating of A (Excellent) and the Long-Term Issuer Credit Rating (Long-Term ICR) of “a” (Excellent) of Jackson National Life Insurance Company (JNL), its wholly owned subsidiary, Jackson National Life Insurance Company of New York, and its direct parent, Brook Life Insurance Company. These companies together are referred to as Jackson National Group (JNG). The outlook of the FSR is stable. Concurrently, AM Best has revised the outlook to positive from stable and affirmed the Long-Term Issue Credit Rating (Long-Term IR) of “a” (Excellent) on the notes issued under JNL’s funding agreement-backed securities program, and the Long-Term IR of “bbb+” (Good) of JNL’s surplus notes.
AM Best also has revised the outlook to positive from stable and affirmed the Long-Term ICR of “a” (Excellent) of Jackson National Life Global Funding, as well as the Long-Term ICR of “bbb” (Good) of Jackson Financial Inc. (Delaware). All companies are domiciled in Lansing, MI, unless otherwise specified. (Please see below for a detailed listing of the Long-Term IRs)
The Credit Ratings (ratings) reflect JNG’s balance sheet strength, which AM Best assesses as strong, as well as its strong operating performance, favorable business profile and appropriate enterprise risk management.
The rating affirmations and outlook revisions reflect the continued progress in the execution of the group’s strategic plan, specifically the risk-based capital profile, as measured by Best’s Capital Adequacy Ratio (BCAR). The company continues to manage to a long-term, 500-525% adjusted risk-based capital level during normal market conditions. AM Best expects statutory earnings to continue to be positive as the company grows while supporting the balance sheet and dividend expectations of the parent. AM Best expects the current capital level to be sufficient to support future growth of the group.
The ratings also factor JNL’s strong market share and distribution capabilities as a leader in the annuity and retirement space, supported by an enterprise risk management framework that is commensurate with the risk profile of the group.
The following Long-Term IRs have been affirmed, with revised outlooks to positive from stable:
Jackson National Life Insurance Company—
— “bbb+” (Good) on USD 250 million 8.15% surplus notes, due 2027
Jackson National Life Global Funding – “a” (Excellent) program rating
— “a” (Excellent) on all outstanding notes issued under the program
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 Performance Assessments, 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.