AM Best Affirms Credit Ratings of Prudential Financial, Inc. and Its Life/Health Subsidiaries

OLDWICK, N.J.--(BUSINESS WIRE)--AM Best has affirmed the Financial Strength Rating (FSR) of A+ (Superior) and the Long-Term Issuer Credit Ratings (Long-Term ICR) of “aa-” (Superior) of the life/health insurance subsidiaries of Prudential Financial, Inc. (PFI) (Newark, NJ) [NYSE: PRU], collectively referred to as Prudential. Concurrently, AM Best has affirmed the Long-Term ICR of “a-” (Excellent) of PFI and all Long- and Short-Term Issue Credit Ratings (Long-Term IR; Short-Term IR) of the group. The outlook of these Credit Ratings (ratings) is stable. (Please see below for a detailed listing of the companies and ratings.)

The ratings reflect Prudential’s balance sheet strength, which AM Best assesses as very strong, as well as its strong operating performance, very favorable business profile and very strong enterprise risk management.

Prudential’s very strong balance sheet assessment is supported by its very strong Best’s Capital Adequacy Ratio (BCAR) assessment, which is reflective of the group’s efforts balance sheet over the past few years. The group’s investments supporting its insurance liabilities are of the highest quality with moderate exposure to below investment grade bonds, mortgage loans and structured securities. The insurance entities leverage the expertise of PFI’s global asset manager, PGIM. Furthermore, Prudential’s access to capital markets and additional financial flexibility through PFI adds to its balance sheet strength. The organization exhibits strong liquidity measures and more-than-adequate cash and short-term security holdings as of PFI’s last reported quarter ending Sept. 30, 2025. One of Prudential’s offsetting balance sheet strength attributes is the reliance on internal captives. Internal reinsurance allows the group to manage its capital more efficiently and more effectively on an economic basis and enables an aggregation and transfer of risk; however, AM Best notes that this partially reduces the overall quality of the group’s capital.

Prudential offers a very wide range of products in the life/annuity product space that is complemented by the asset management services offered by PGIM. AM Best recognizes its leading market positions in the pension risk transfer business, institutional stable value, indexed universal life and variable universal life protection and accumulation products. Strong sales have supported the group’s operating performance, which is driven by its diversified business lines of both insurance from its individual and group segments and non-insurance asset management services. Furthermore, AM Best recognizes Prudential’s stable net investment income growth over the past five years.

The FSR of A+ (Superior) and the Long-Term ICRs of “aa-” (Superior) have been affirmed with stable outlooks for the following subsidiaries of Prudential Financial, Inc.:

• The Prudential Insurance Company of America
• Pruco Life Insurance Company
• Pruco Life Insurance Company of New Jersey

The following Long-Term IRs have been assigned with stable outlooks:

PRICOA Global Funding I— “aa-” (Superior) program rating

--“aa-” (Superior) on $500 million 4.35% medium term notes, due 2030
--“aa-” (Superior) on $500 million 4.65% medium term notes, due 2033

The following Short-Term IRs have been affirmed:

Prudential Financial, Inc.—

-- AMB-1 (Outstanding) on $3 billion commercial paper program

Prudential Funding, LLC—

-- AMB-1 (Outstanding) on $6 billion commercial paper program

PRICOA Short-Term Funding, LLC—

-- AMB-1 (Outstanding) on $3 billion Funding Agreement Backed Commercial Paper

The following Long-Term IRs have been affirmed with stable outlooks:

Prudential Financial, Inc.—

-- “a-” (Excellent) on JPY 23.0 billion 2.62% senior unsecured notes, due 2026
-- “a-” (Excellent) on JPY 17.5 billion 2.76% senior unsecured notes, due 2026
-- “a-” (Excellent) on JPY 9 billion 3.099% senior unsecured notes, due 2027
-- “a-” (Excellent) on $500 million 5.75% senior unsecured notes, due 2033
-- “a-” (Excellent) on $350 million 6.625% senior unsecured notes, due 2040
-- “a-” (Excellent) on $325 million 5.80% senior unsecured notes, due 2041
-- “a-” (Excellent) on $895.8 million 3.905% senior unsecured notes, due 2047
-- “a-” (Excellent) on $1.039 billion 3.935% senior unsecured notes, due 2049
-- “bbb” (Good) on $750 million 4.5% fixed to floating junior subordinated notes, due 2047
-- “bbb” (Good) on $1.0 billion 5.70% junior subordinated notes, due 2048
-- “bbb” (Good) on $800 million 3.70% junior subordinated notes, due 2050
-- “bbb” (Good) on $1.0 billion 5.125% junior subordinated notes, due 2052
-- “bbb” (Good) on $1.2 billion 6.0% junior subordinated notes, due 2052
-- “bbb” (Good) on $500 million 6.75% junior subordinated notes, due 2053
-- “bbb” (Good) on $1.0 billion 6.5% junior subordinated notes, due 2054
-- “bbb” (Good) on $500 million 5.625% junior subordinated notes, due 2058
-- “bbb” (Good) on $500 million 4.125% junior subordinated notes, due 2060
-- “bbb” (Good) on $300 million 5.95% junior subordinated notes, due 2062

Prudential Financial, Inc.— “a-” (Excellent) program rating

-- “a-” (Excellent) on all outstanding notes issued under the program

PRICOA Global Funding I— “aa-” (Superior) program rating

-- “aa-” (Superior) on all outstanding notes issued under the program

Prudential Funding, LLC— “a+” (Excellent) program rating

The following indicative Long-Term IRs have been affirmed with stable outlooks:

Prudential Financial, Inc.—

-- “a-” (Excellent) on senior unsecured debt
-- “bbb+” (Good) on subordinated debt
-- “bbb” (Good) on preferred stock

Prudential Financial Capital Trust II and III—

-- “bbb” (Good) on preferred securities

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 Performance Assessments, Best’s Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best’s Ratings & Assessments.

AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.

Copyright © 2026 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.