MEXICO CITY, December 10, 2024–(BUSINESS WIRE)–AM Best has affirmed the Financial Strength Rating of B++ (Good) and the Long-Term Issuer Credit Rating of “bbb+” (Good) of Sapphire Reinsurance Company (Sapphire) (Cayman Islands). The outlook of these Credit Ratings (ratings) is stable.
The ratings reflect Sapphire’s balance sheet strength, which AM Best assesses as strongest, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management (ERM).
Sapphire is the captive reinsurer related to a large privately owned Colombian conglomerate that has operations in different business sectors across Colombia and Latin America, such as the industrial, motor, textile, pipe manufacturing, public transport and waste management sectors. The portfolio of Sapphire is concentrated in the motor business line, with most this being underwritten in Colombia. Due to its limited commercial scope as a captive, Sapphire’s business profile is considered limited.
Sapphire’s balance sheet strength assessment of strongest reflects its stability and constantly growing capital base, characterized by a responsible asset-liability management and a low underwriting leverage. Sapphire has defined policies and procedures that are attached to its risk tolerance and the company is currently implementing a transformation plan, which will digitalize its operations, rendering AM Best’s ERM assessment as appropriate.
Sapphire’s operating performance is considerate adequate given its net income, which is sustained by stable and ongoing improvements on its technical ratios.
The stable outlooks on Sapphire’s ratings reflect AM Best’s expectation that the company will continue to obtain positive operating results and maintain its current balance sheet strength assessment level.
Positive rating actions could occur if the company sustains its good operating performance results. Conversely, negative rating actions could result if Sapphire experiences a deterioration in its risk-adjusted capitalization as a result of weak operating performance or capital outflows.
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 © 2024 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.
View source version on businesswire.com: https://www.businesswire.com/news/home/20241210682396/en/
Story Continues
Source link : http://www.bing.com/news/apiclick.aspx?ref=FexRss&aid=&tid=6759bb4e1c6747f788dadc479d301f01&url=https%3A%2F%2Ffinance.yahoo.com%2Fnews%2Fam-best-affirms-credit-ratings-194100166.html&c=15442077709795695998&mkt=en-us
Author :
Publish date : 2024-12-10 06:42:00
Copyright for syndicated content belongs to the linked Source.
