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FOR IMMEDIATE RELEASE
OLDWICK, N.J. - JUNE 16, 2011 12:00 AM (EDT)
A.M. Best Co. has affirmed the financial strength rating of A- (Excellent) and issuer credit rating of "a-" of Stonebridge Casualty Insurance Company (Stonebridge) (Columbus, OH), the property/casualty subsidiary of AEGON N.V. (AEGON) (Netherlands) [NYSE: AEG]. The outlook for both ratings is stable.
The ratings reflect Stonebridge's excellent capitalization, financial and operational support provided by AEGON, the synergies Stonebridge gains from affiliates in the AEGON USA family and management's knowledge and expertise in the travel insurance market niche.
Offsetting the positive rating factors are Stonebridge's varied premium writings and inconsistent underwriting performance.
Notwithstanding, the rating outlook reflects Stonebridge's sustained operating profitability, as well as the commitment of AEGON to maintain a level of capitalization that is supportive of the company's ratings.
The principal methodology used in determining these ratings is Best's Credit Rating Methodology - Global Life and Non-Life Insurance Edition, which provides a comprehensive explanation of A.M. Best's rating process and highlights the different rating criteria employed. Additional key criteria utilized include: "Risk Management and the Rating Process for Insurance Companies"; "Understanding BCAR for Property/Casualty Insurers"; "Catastrophe Risk Management Incorporated Within the Rating Analysis"; and "Rating Members of Insurance Groups." Methodologies can be found at www.ambest.com/ratings/methodology.
Founded in 1899, A.M. Best Company is the world's oldest and most authoritative insurance rating and information source.