A.M. Best Removes From Under Review and Assigns Negative Outlook to Ratings of PartnerRe Ltd. and Its Subsidiaries
Business Wire, Inc. |
The negative outlook reflects PartnerRe’s 2011 financial performance, which was not in line with other Superior-rated companies and below A.M. Best’s expectations. While one year’s operating performance does not indicate a trend, the accumulation of catastrophe losses experienced by
The ratings reflect the group’s strong risk-adjusted capitalization, solid long-term track record and the company’s strong business profile as a truly global reinsurance organization.
Factors that could result in a downgrading of PartnerRe’s ratings include unfavorable operating profitability relative to the market. Additional factors that could place downward pressure on the ratings would be an altered view of PartnerRe’s risk management capability or a material decline in its risk-adjusted capital as a result of catastrophe or investment losses.
Factors that could lead to a stable outlook would be evidence of a return of PartnerRe’s long-term, strong operating profitability and maintenance of strong risk-adjusted capital levels.
The FSR of A+ (Superior) and ICRs of “aa-” have been removed from under review with negative implications and assigned a negative outlook for
-
Partner Reinsurance Company of the U.S. -
PartnerRe Insurance Company of New York -
PartnerRe Ireland Insurance Limited -
Partner Reinsurance Europe Public Limited Company
The FSR of A- (Excellent) and ICRs of “a-” have been removed from under review with negative implications and assigned a negative outlook for the following subsidiariesof
-
PARIS RE America Insurance Company -
PARIS RE Asia Pacific Pte. Ltd.
The following debt ratings have been removed from under review with negative implications and assigned a negative outlook:
PartnerRe Ltd.—
--“bbb” on
-- “bbb” on
-- “bbb” on
PartnerRe Finance A LLC—
-- “a-” on
PartnerRe Finance
-- “a-” on
PartnerRe Financial II, Inc.—
-- “bbb” on
The following indicative ratings under the shelf registration have been removed from under review with negative implications and assigned a negative outlook:
PartnerRe Ltd.—
-- “a-” on senior debt
-- “bbb+” on subordinated debt
-- “bbb” on preferred stock
-- “a-” on senior debt
-- “bbb+” on subordinated debt
-- “bbb” on preferred stock
PartnerRe Capital Trust II and III (guaranteed by
-- “bbb+” on trust preferred securities
The methodology used in determining these ratings is Best’s Credit Rating Methodology, which provides a comprehensive explanation of A.M. Best’s rating process and contains the different rating criteria employed in the rating process. Key criteria utilized include: “Risk Management and the Rating Process for Insurance Companies”; “Understanding Universal BCAR”; “Catastrophe Analysis in
Founded in 1899,
Copyright © 2012 by A.M. Best Company, Inc. ALL RIGHTS RESERVED.
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Source:
Copyright: | Copyright Business Wire 2012 |
Wordcount: | 795 |
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