OLDWICK, N.J.–(BUSINESS WIRE)–AM Best has affirmed the Financial Strength Rating of B++ (Good)
and the Long-Term Issuer Credit Rating of “bbb+” of Republic Insurance
Company (Cayman) Limited (Republic Insurance) (Cayman Islands). The
outlook of these Credit Ratings (ratings) is stable.
The ratings reflect Republic Insurance’s balance sheet strength, which
AM Best categorizes as very strong, as well as its adequate operating
performance, neutral business profile and appropriate enterprise risk
management.
The ratings also reflect Republic Insurance’s established niche in the
reinsurance of credit insurance and the strength of its parent, Republic
Financial Holdings Limited [Trinidad and Tobago Exchange: RFHL].
Furthermore, the ratings reflect Republic Insurance’s ability to
generate consistent earnings, reflecting its favorable expense
management and solid net premium growth. Republic Insurance’s total
equity continues to increase as a result of consistent operating
earnings and the absence of shareholder dividend payouts.
Republic Insurance’s strengths are offset partially by the concentration
of earnings and premiums originating in Trinidad and Tobago, which AM
Best categorizes as having an elevated country risk. In addition, AM
Best does not expect the lack of geographic diversification to change
materially over the medium term, as business will continue to be written
in primarily Trinidad and Tobago and Barbados. While AM Best believes
there is potential exposure to heightened economic and political risks
in the other countries where Republic Insurance conducts business, it
notes there is currently only a modest amount of business being
reinsured outside of Trinidad and Tobago.
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 Understanding
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 rating agency and information provider with a
unique focus on the insurance industry. Visit www.ambest.com
for more information.
Copyright © 2019 by A.M. Best Rating Services, Inc. and/or its
affiliates. ALL RIGHTS RESERVED.
Contacts
Jason MacKenzie
Financial Analyst
+1 908 439
2200, ext. 5649
[email protected]
William Pargeans
Director
+1 908 439 2200,
ext. 5359
[email protected]
Christopher Sharkey
Manager, Public Relations
+1
908 439 2200, ext. 5159
[email protected]
Jim Peavy
Director, Public Relations
+1 908
439 2200, ext. 5644
[email protected]
