A.M. Best Affirms Credit Ratings of Transatlantic Reinsurance Company and Alleghany Corporation

A.M. Best has affirmed the Financial Strength Rating (FSR) of A+
(Superior) and the Long-Term Issuer Credit Ratings (Long-Term ICR) of
“aa-” of Transatlantic Reinsurance Company and its subsidiaries
(collectively referred to as TransRe). In addition, A.M. Best has
affirmed the Long-Term ICRs and the Long-Term Issue Credit Ratings
(Long-Term IRs) of “a-” of Alleghany Corporation (Alleghany)
(NYSE:Y) and Transatlantic Holdings Inc. TransRe and Alleghany
are headquartered in New York, NY.

Concurrently, A.M. Best has affirmed the FSR of A+ (Superior) and the
Long-Term ICRs of “aa-” of RSUI Indemnity Company and its
reinsured subsidiaries, collectively referred to as RSUI Group
(RSUI) (headquartered in Atlanta, GA).

A.M. Best also has affirmed the FSR of A (Excellent) and the Long-Term
ICRs of “a” of Capitol Indemnity Corporation and its two
subsidiaries, which operate under a pooling agreement, collectively
referred to as CapSpecialty Insurance Group (CapSpecialty)
(headquartered in Middleton, WI).

The outlook for each of these Credit Ratings (ratings) is stable.
(Please see below for a detailed listing of the companies and ratings.)

TransRe’s ratings reflect its strong risk-adjusted capitalization,
robust enterprise risk management and consistent operating performance.
The ratings also reflect TransRe’s well-regarded business profile and
its highly diversified book of business by product and geography. It
continues to be A.M. Best’s expectation that while TransRe’s return
measures are unlikely to be at the high end of the companies’ peer
group, TransRe will continue to produce favorable results that are
supportive of its ratings and with lower volatility relative to its
peers over the course of the full cycle. Additionally, given the recent
catastrophic events, A.M. Best’s expectation is that losses from
Hurricanes Harvey, Irma and Maria will be within TransRe’s stated risk
tolerances and also within A.M. Best expectations, as A.M. Best looks
across the losses relative to the broader peer group. A.M. Best will
continue to monitor the developments associated with these events and
their impact on TransRe. Should there be a material deviation from
expectations, A.M. Best will update the market with regards to its
rating opinion on TransRe.

See also  https://www.benzinga.com/sec/insider-trades/wrb/robert-daly-stone

The ratings of RSUI continue to reflect the group’s strong risk-adjusted
capitalization and excellent track record of superior underwriting
results that have outperformed the industry. Although RSUI has
significant catastrophe exposures and elevated equity leverage in its
investment portfolio, both are closely monitored and managed as part of
RSUI’s risk management planning.

CapSpecialty’s ratings recognize its strong risk-adjusted capitalization
and its ongoing process of re-orienting its book of business to produce
more stable results. CapSpecialty benefits from the implicit and
explicit support of Alleghany, its ultimate parent.

The FSR of A+ (Superior) and the Long-Term ICRs of “aa-” have been
affirmed with stable outlooks for Transatlantic Reinsurance Company
and its following subsidiaries:

  • TransRe Zurich Ltd.
  • TransRe London Limited
  • Fair American Insurance and Reinsurance Company
  • Fair American Select Insurance Company
  • Calpe Insurance Company Limited

The FSR of A+ (Superior) and the Long-Term ICRs of “aa-” have been
affirmed with stable outlooks for the following members of RSUI Group:

  • RSUI Indemnity Company
  • Landmark American Insurance Company
  • Covington Specialty Insurance Company

The FSR of A (Excellent) and ICRs of “a” has been affirmed with stable
outlooks for the following members of CapSpecialty Insurance Group:

  • Capitol Indemnity Corporation
  • Platte River Insurance Company
  • Capitol Specialty Insurance Corporation

The following Long-Term IRs have been affirmed with stable outlooks:

Alleghany Corporation—

— “a-” on $300 million 5.625% senior unsecured notes, due 2020

— “a-” on $400 million floating rate senior unsecured notes, due 2022

— “a-” on $300 million 4.9% senior unsecured notes, due 2044

Transatlantic Holdings Inc.

See also  https://www.benzinga.com/sec/insider-trades/ual/walter-isaacson

— “a-” on $350 million 8% senior unsecured notes, due 2039

This press release relates to Credit Ratings that have been published
on A.M. 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 A.M. Best’s
Recent
Rating Activity
web page. For additional information
regarding the use and limitations of Credit Rating opinions, please view
Understanding
Best’s Credit Ratings
. For information on the proper media
use of Best’s Credit Ratings and A.M. Best press releases, please view
Guide
for Media – Proper Use of Best’s Credit Ratings and A.M. Best Rating
Action Press Releases
.

A.M. Best is the world’s oldest and most authoritative insurance
rating and information source. For more information, visit
www.ambest.com.

Copyright © 2017 by A.M. Best Rating Services, Inc. and/or its
subsidiaries. ALL RIGHTS RESERVED.

View more information: https://www.benzinga.com/pressreleases/17/09/b10121906/a-m-best-affirms-credit-ratings-of-transatlantic-reinsurance-company-a

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