AM Best Assigns Credit Ratings to Halldora Re Ltd

Business Wire

LONDON--(BUSINESS WIRE)--
AM Best has assigned a Financial Strength Rating of A- (Excellent) and a Long-Term Issuer Credit Rating of “a-” (Excellent) to Halldora Re Ltd (Halldora Re) (Guernsey). The outlook assigned to these Credit Ratings (ratings) is stable.

The ratings reflect Halldora Re’s balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management.

Halldora Re is a start-up reinsurer providing capacity to managing general agents (MGA) predominantly writing specialised risks such as after-the-event insurance, contingent risk insurance and tax insurance. The company was founded in 2025 by Arrow Global Group Limited (Arrow Global), a pan-European asset management group, and is backed by institutional investors and funds managed by the group.

Halldora Re’s balance sheet strength is underpinned by its risk-adjusted capitalisation, which is projected to be comfortably at the strongest level, as measured by Best’s Capital Adequacy Ratio (BCAR). In addition, Halldora Re’s balance sheet strength assessment benefits from a net worth maintenance agreement that supports risk-adjusted capitalisation at the strongest level prospectively. Halldora Re is expected to hold good liquidity levels and have no catastrophe exposure, due to the nature of its business.

Operating performance is expected to be adequate, supported by good underwriting performance. Investment returns are expected to be a steady, albeit moderate, contributor to total earnings, which is consistent with the company’s moderately conservative strategy.

Halldora Re plans to grow in a highly specialised and niche segment of the specialty market, where it is expected to face a relatively low level of competition. The company’s strategy is to rely on MGAs affiliated with either Arrow Global or with funds managed by the group to source its business. Such dependence is mitigated by a strong alignment of interest between Halldora Re and the MGAs.

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. For more information, visit www.ambest.com.