OLDWICK, N.J.--(BUSINESS WIRE)--A.M. Best has affirmed the financial strength rating of A- (Excellent) and the issuer credit rating of “a-” of Massy United Insurance Ltd. (Massy United) (Barbados). The outlook for both ratings is stable.
The ratings reflect Massy United’s solid capitalization, historically favorable underwriting performance and strong regional market profile. Furthermore, Massy United benefits from the full support of its ultimate parent, Massy Holdings Ltd. (formerly Neal and Massy Holdings Limited), a large Caribbean-based conglomerate, which is publicly traded on the Trinidad and Tobago and Barbados stock exchanges.
Massy United has made progress in addressing negative underwriting results driven by the company’s now-discontinued assumed reinsurance line of business. Corrective measures have led to positive underwriting results with Massy United’s renewed focus on its core Caribbean book of business. Massy United, formerly named United Insurance Company Limited, was rebranded as Massy United Insurance Limited as part of a group initiative to create a consistent and easily identifiable corporate image. The rebranding is expected to further strengthen the company’s business profile in its core markets and has the potential to draw in new business through additional cross-selling opportunities in the future.
While the outlook for Massy United is currently stable, potential negative rating triggers could include adverse operating results relating to its Caribbean book of business that are exacerbated by a large catastrophic event or a downgrade to Barbados’ country risk tier. Positive rating actions could occur if the company exhibits sustainable long term improvements in operating performance coupled with improvements in Barbados' macroeconomic environment and country risk tier.
The methodology used in determining these ratings is Best’s Credit Rating Methodology, which provides a comprehensive explanation of A.M. Best’s rating process and contains the different rating criteria employed in the rating process. Best’s Credit Rating Methodology can be found at www.ambest.com/ratings/methodology.
Key insurance criteria reports utilized:
- Catastrophe Analysis in A.M. Best Ratings
- Evaluating Non-Insurance Ultimate Parents
- Evaluating Country Risk
- Risk Management and the Rating Process for Insurance Companies
- Understanding BCAR for Property/Casualty Insurers
- Understanding Universal BCAR
This press release relates to rating(s) 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 visit A.M. Best’s Ratings & Criteria Center.
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