A.M. Best affirms ratings of TransRe

A.M. Best has affirmed the financial strength rating (FSR) of A (Excellent) and the issuer credit ratings (ICR) of “a+” of Transatlantic Reinsurance Company and its subsidiaries, Fair American Insurance and Reinsurance Company, Fair American Select Insurance Company, TransRe London Limited (United Kingdom) and Trans Re Zurich Ltd. (Switzerland), collectively referred to as TransRe.

The outlook of all ratings remains positive. All companies are headquartered in New York, NY, unless otherwise specified. (See below for a detailed listing of the debt ratings.)

The positive outlook continues to reflect TransRe’s strong risk-adjusted capitalisation, solid operating results and robust risk management practices. The ratings also reflect TransRe’s well-regarded global business profile, with roughly 50 percent of premiums coming from outside the United States, which provides a favorable balance of diversification on a line of business and geographic basis. TransRe also has been successful in utilising third-party capital through its use of its Pillar and Pangaea facilities without materially impacting its risk profile. Despite the challenging investment and reinsurance market conditions, the relatively low level of catastrophic activity has helped TransRe produce two consecutive years of strong overall earnings and allowed for surplus appreciation.