A.M. Best Affirms Credit Ratings of RoyalStar Assurance Limited

OLDWICK, N.J.--()--A.M. Best has affirmed the Financial Strength Rating of A (Excellent) and the Long-Term Issuer Credit Rating of “a” of RoyalStar Assurance Limited (RSA) (Nassau, Bahamas). The outlook of these Credit Ratings (ratings) is stable.

The ratings reflect the company’s balance sheet strength, which A.M. Best categorizes as strongest, as well as its strong operating performance, limited business profile and appropriate enterprise risk management.

RSA continues to generate overall earnings, which are derived from its strong underwriting performance and steady levels of investment income, especially in non-catastrophe years. Positive earnings have enabled RSA to continue to maintain strongest risk-adjusted capitalization. Under the direction of its experienced management team with local market expertise, RSA provides personal and commercial lines coverage throughout the Bahamas, the Cayman Islands, and Turks and Caicos Islands.

These strengths are partially offset by the geographic concentration of RSA’s business in the Bahamas, the company’s exposure to weather-related catastrophe events and its dependence on reinsurance to mitigate losses and protect its surplus. RSA mitigates much of its catastrophe exposure through prudent risk management planning, which includes minimizing coverage written in flood and storm surge areas, along with its comprehensive reinsurance program placed with a panel of high-quality reinsurers.

This press release relates to Credit Ratings 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 see A.M. 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 A.M. Best press releases, please view Guide for Media - Proper Use of Best’s Credit Ratings and A.M. Best Rating Action Press Releases.

A.M. Best is the world’s oldest and most authoritative insurance rating and information source. For more information, visit www.ambest.com.

Copyright © 2018 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.

Contacts

A.M. Best
Ricardo Longchallon, 908-439-2200, ext. 5676
Senior Financial Analyst
ricardo.longchallon@ambest.com
or
Christopher Sharkey, 908-439-2200, ext. 5159
Manager, Public Relations
christopher.sharkey@ambest.com
or
Charles M. Huber, 908-439-2200, ext. 5122
Director
charles.huber@ambest.com
or
Jim Peavy, 908-439-2200, ext. 5644
Director, Public Relations
james.peavy@ambest.com

Contacts

A.M. Best
Ricardo Longchallon, 908-439-2200, ext. 5676
Senior Financial Analyst
ricardo.longchallon@ambest.com
or
Christopher Sharkey, 908-439-2200, ext. 5159
Manager, Public Relations
christopher.sharkey@ambest.com
or
Charles M. Huber, 908-439-2200, ext. 5122
Director
charles.huber@ambest.com
or
Jim Peavy, 908-439-2200, ext. 5644
Director, Public Relations
james.peavy@ambest.com