APRIL 06, 2022 01:12 PM (EDT)
AM Best Assigns Credit Ratings to Subsidiaries of RSA Insurance Group Limited
|Ben Diaz-Clegg |
Senior Financial Analyst
+44 20 7397 0293
Ghislain Le Cam, CFA, FRM
+44 20 7397 0268
Manager, Public Relations
+1 908 439 2200, ext. 5159
+1 908 439 2200, ext. 5644
FOR IMMEDIATE RELEASE
LONDON - APRIL 06, 2022 01:12 PM (EDT)
AM Best has assigned a Financial Strength Rating of A (Excellent) and a Long-Term Issuer Credit Rating of “a+” (Excellent) to RSA Insurance Ireland DAC (RSAI Ireland) (Ireland), RSA Luxembourg S.A. (RSAL) (Luxembourg), Royal & Sun Alliance Reinsurance Limited (RSA Re) (United Kingdom) and The Marine Insurance Company Limited (MIC) (United Kingdom). All four entities are wholly owned subsidiaries of RSA Insurance Group Limited (RSA), a non-operating holding company, ultimately owned by Intact Financial Corporation (IFC). The outlook assigned to these Credit Ratings (ratings) is stable.
The ratings reflect RSA’s consolidated balance sheet strength, which AM Best assesses as very strong, as well as the group’s adequate operating performance, neutral business profile and appropriate enterprise risk management. The ratings also consider, in the form of lift, the support of its parent company, IFC. RSAI Ireland, RSAL and RSA Re’s ratings factor in their strategic importance to and integration within the RSA group; MIC’s ratings consider the significant reinsurance support it receives from Royal & Sun Alliance Insurance Limited (RSAI), an affiliated company.
RSAI Ireland provides personal and commercial insurance predominantly in Ireland. It is strategically important to RSA and is a material contributor to the business profile of the group. RSAI Ireland benefits from intragroup reinsurance support from RSAI in the form of a significant quota share treaty of 90% on long-tail lines and 50% on short-tail lines, after third-party reinsurance.
RSAL was established to service policyholders across the European Economic Area following the United Kingdom’s exit from the European Union. The company was incorporated on 7 November 2017. RSAL benefits from intragroup reinsurance support from RSAI in the form of an 83% quota share after third-party reinsurance.
RSA Re acts as an intragroup reinsurer for the international insurance activities of the RSA global network. RSA Re benefits from a credit risk insurance agreement with RSAI, which provides cover for external reinsurer default.
MIC was incorporated on 1 January 1881 in the United Kingdom, and writes marine, aviation, transport and renewable energy insurance business in the United States. MIC benefits from significant explicit support from the RSA group in the form of a 100% quota share treaty provided by RSAI, after third-party reinsurance.
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 specialising 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.