SEPTEMBER 29, 2017 01:29 PM (EDT)
A.M. Best Affirms Credit Ratings of Pan-American Life Insurance Company and Its Affiliates
|Kate Steffanelli |
Senior Financial Analyst
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Manager, Public Relations
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Director, Public Relations
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FOR IMMEDIATE RELEASE
OLDWICK - SEPTEMBER 29, 2017 01:29 PM (EDT)
A.M. Best has affirmed the Financial Strength Rating (FSR) of A (Excellent) and the Long-Term Issuer Credit Ratings (Long-Term ICR) of “a” of Pan-American Life Insurance Company (New Orleans, LA), its wholly owned subsidiary, Pan-American Assurance Company (New Orleans, LA), and affiliates, Mutual Trust Life Insurance Company, a Pan-American Life Insurance Group Stock Company (MTL) (Oak Brook, IL), INRECO International Reinsurance Company (INRECO) (Cayman Islands), and Pan-American International Insurance Corporation (Cayman Islands), a wholly owned subsidiary of INRECO — collectively referred to as the Pan-American Life Insurance Group (Pan-American Life). In addition, A.M. Best has affirmed the Long-Term Issue Credit Rating of “bbb+” of MTL’s $30 million 6.25% surplus notes, due March 2028. The outlook of these Credit Ratings (ratings) is stable.
Pan-American Life’s rating affirmations reflect the benefits derived from its established and recognized presence in Latin America and the U.S. Hispanic marketplace, as well as an improved balance sheet due to its solid consolidated risk-adjusted capitalization and well-performing fixed-income investment portfolio. Additionally, Pan-American Life continues to report positive net operating performance driven by its diverse operations and steady stream of net investment income. Additionally, the integration of MTL into the organization progressed as planned, and created favorable synergies and enhanced scale within the U.S. operations. Partially offsetting these strengths are the challenges to further grow statutory capital, as well as to improve operating performance within certain lines of business and to successfully execute its strategic business plans throughout the enterprise. The ratings also reflect the economic, political, and financial system risks associated with the Latin American and Caribbean countries where Pan-American Life writes a significant amount of premium.
This press release relates to Credit Ratings that have been published on A.M. 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 A.M. Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Understanding Best’s Credit Ratings. For information on the proper media use of Best’s Credit Ratings and A.M. Best press releases, please view Guide for Media - Proper Use of Best’s Credit Ratings and A.M. Best Rating Action Press Releases.
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