AM Best Comments on Credit Ratings of Fortitude Reinsurance Company Ltd. Following Announcements

OLDWICK, N.J.--(BUSINESS WIRE)--
AM Best has commented that the Credit Ratings (ratings) of Fortitude Reinsurance Company Ltd. (FRL) and its affiliate, Fortitude International Reinsurance Ltd. (FIRL), remain unchanged following the March 31, 2022, announcements that it has entered into an agreement to reinsure $4 billion of Taiyo Life Insurance Company’s (Taiyo Life) in-force individual annuity business and separately, the $2.1 billion capital infusion from the Carlyle Group and new advisory relationship between Fortitude Re and the Carlyle Group. FRL and FIRL are domiciled in Bermuda and collectively referred to as Fortitude Re.

The former transaction (Taiyo Life) is Fortitude Re’s first reinsurance transaction covering business in Asia, and is in line with its stated strategy and liability risk profile. It is noted that Taiyo Life will continue to service policy administration. AM Best believes that this transaction will have little impact on Fortitude Re’s risk-adjusted capitalization. The latter transaction (Carlyle Group) is expected to have a neutral to positive impact on Fortitude Re’s risk-adjusted capitalization levels, but is not expected to change AM Best’s balance sheet strength assessment in the short term.

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 specializing 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.

Copyright © 2022 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.

src="https://cts.businesswire.com/ct/CT?id=bwnewssty=20220404005593r1sid=acqr8distro=nxlang=en" style="width:0;height:0" />

View source version on businesswire.com: https://www.businesswire.com/news/home/20220404005593/en/

Louis Silvers
Senior Financial Analyst

+1 908 439 2200, ext. 5802

[email protected]

Christopher Sharkey
Manager, Public Relations

+1 908 439 2200, ext. 5159

[email protected]

Jacqalene Lentz, CPA

Director

+1 908 439 2200, ext. 5762

[email protected]

Jim Peavy
Director, Communications

+1 908 439 2200, ext. 5644

[email protected]

Source: AM Best