AM Best Withdraws Credit Ratings of Energy Risk Indemnity Reinsurance Inc.

Business Wire

MEXICO CITY--(BUSINESS WIRE)-- AM Best has removed from under review with developing implications and affirmed the Financial Strength Rating of B+ (Good) and the Long-Term Issuer Credit Rating of “bbb-” of Energy Risk Indemnity Reinsurance Inc. (ERI Re) (Barbados). The outlook assigned to these Credit Ratings (ratings) is stable. Concurrently, AM Best has withdrawn the ratings as the company has requested to no longer participate in AM Best’s interactive rating process.

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

The ratings were placed under review with developing implications on Dec. 6, 2018, as AM Best’s original rating decision was appealed based on material new information. In January and August 2019, AM Best maintained the under review status, as ERI Re at each juncture presented information to resolve the rating issues, although AM Best’s concerns regarding implementation remained.

As ERI Re continued the implementation of its plans, the concerns surrounding the under review status have been resolved in terms of the company’s corporate and financial structures. The rating affirmations with stable outlooks reflect AM Best’s expectation that the company will remain with a very strong capital position.

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 media use of Best’s Credit Ratings and AM Best press releases, please view Guide for Media - Proper Use of Best’s Credit Ratings and AM Best Rating Action Press Releases.

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 New York, London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.