AM Best has affirmed the Financial Strength Rating (FSR) of A- (Excellent) and the Long-Term Issuer Credit Rating of 'a-' (Excellent) of
The outlook of these Credit Ratings (ratings) is stable.
The ratings reflect Marble Re's balance sheet strength, which AM Best assesses as strong, as well as its strong operating performance, neutral business profile and appropriate enterprise risk management.
The balance sheet strength is well supported by Marble Re's risk-adjusted capitalisation, which is assessed at the strongest level, as measured by Best's Capital Adequacy Ratio (BCAR). The company's balance sheet strength is also supported by its favourable balance sheet liquidity and a conservative investment strategy. Although the company has relatively high dependence on reinsurance, the risk is mitigated by its high quality and well-diversified reinsurance panel. Marble Re is a wholly owned subsidiary of
Marble Re's operating performance has been consistently strong with a five-year average combined ratio of 60% (2016-2020). Although the company recorded lower premium income amid the COVID-19 pandemic during the fiscal year ended
Marble Re continues to benefit from the
Negative rating actions could occur if there is a substantial increase in underwriting losses caused by a material increase in Marble Re's risk appetite. Negative rating actions could also arise if there is significant deterioration in the
AM Best remains the leading rating agency of alternative risk transfer entities, with more than 200 such vehicles rated throughout the world. For current Best's Credit Ratings and independent data on the captive and alternative risk transfer insurance market, please visit www.ambest.com/captive.
Ratings are communicated to rated entities prior to publication. Unless stated otherwise, the ratings were not amended subsequent to that communication.
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 Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best's Ratings & Assessments.
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