CHICAGO--(BUSINESS WIRE)--Fitch Ratings today launched Ratings Navigator for Insurance, a standardized, visual summary of the key factors that Fitch considers when developing an Insurer Financial Strength (IFS) rating. Navigators on 50 insurance organizations are now available, covering the Americas, EMEA and Asia-Pacific.
Ratings Navigator enhances transparency around how Fitch derives its IFS ratings by presenting an insurer's key strengths and weaknesses in an easy-to-interpret visual format.
"Understanding the 'why' behind our ratings is critical to making informed investment decisions," says Keith Buckley, Global Head of Insurance at Fitch Ratings. "Using Ratings Navigator in conjunction with Fitch's other ratings and research products enhances the value of our analysis for market participants."
Ratings Navigator for Insurance does not introduce new ratings methodologies or approaches to analysis, nor is it a quantitative ratings model. Rather, it illustrates application of established ratings criteria.
Each ratings navigator contains a factor assessment panel, illustrating key credit factors Fitch considers when establishing an IFS rating. These include:
--Industry profile & operating environment
--Market position & size/scale
--Capitalization & leverage
--Debt service capabilities & financial flexibility
--Financial performance & earnings
--Investment & liquidity
--Asset/liability & liquidity management
--Reinsurance, risk mitigation & catastrophe risk
Each factor is scored using a multi-notch indicator, which is color coded to indicate its relative influence, and arrows are used to indicate future trends. Every navigator also includes a summary of other factors and criteria elements that can impact an IFS rating, as well as ratings drivers and sensitivities, and comparative peer group ratings.
Ratings Navigator for Insurance will be published globally, with an expectation that Navigators on a vast majority of Fitch's international IFS ratings will be published by year-end.
To learn more about Ratings Navigator for Insurance, please visit http://info.fitchratings.com/navigator. The full report, 'Introducing Ratings Navigator for Insurance,' is available at www.fitchratings.com.
Additional information is available at 'www.fitchratings.com'.
Applicable Criteria and Related Research:
Introducing Ratings Navigator for Insurance