A.M.Best Company Upgraded Rating of “Transsib Re” to “B-“
OREANDA-NEWS. December 14, 2007. Rating Agency “A.M.Best” upgraded Financial Strength Rating to “B-“ (Fair) of OJSC "Transsiberian reinsurance corporation" and its Issuer Credit Rating to “bb-“. The outlook for both ratings remains stable.
“B-“ rating is assigned to the companies that have a fair ability to meet their ongoing obligations to policyholders, but are financially vulnerable to adverse changes in underwriting and economic conditions.
It is a reminder that rating scale of A.M.Best has more aggregative step comparably to other worldwide leader international agencies. “B-“ correlates in its matter with the mark “BB” or even “BB+” in Fitch’s or Standard & Poor’s scale. It is confirmed by the fact that current rating of Transsib Re in version of A.M.Best is only 2 sub ceilings behind the investment (safety) category.
In such a manner A.M.Best’ s rating is one level beyond the rating of Fitch, that was confirmed by Transsib Re in autumn 2007, but one level behind the ratings of “secure” group, which is pointed out by Fitch and Standard & Poor’s. It should be recognized as a good result in consideration of the hard reference of issuer to the country rating of Russia that is practicing by analysts of international rating agencies.
However the changes that were made by A.M.Best in their own technique of country risk definition let Russian companies look forward more optimistic but they won’t reflected in current rating of “Transsib Re”.
International Rating Agency A.M.Best was founded in 1899 and is specializing in insurance sector of economic activity by rating insurance and reinsurance companies in financial strength and short and long-term credit ratings. The main clients of A.M.Best are insurance companies from USA and Great Britain.
Комментарии