Standard & Poor’s announced that it has affirmed its ‘A’ counterparty credit and financial strength ratings on Inter-Ocean Reinsurance Co. Ltd. with a stable outlook.
S&P indicated it took the action “due to the company’s stable business model that provides regulatory arbitrage opportunities for its shareholders through a range of different structures but retains no insurance liability risk for its own account.”
“The company’s strengths include the limited risk retention and strong credit quality of the retrocessionaires,” observed S&P credit analyst Karole Dill Barkley. “Offsetting these positives are a limited business position and heavy reliance on its shareholders for business growth.”
S&P said it “expects Inter-Ocean Re to continue to generate returns on equity in the range of 4%-9% %. Capital adequacy is expected to remain at or above the rating range, and tangible net worth is expected to be positive.”
Topics Reinsurance
Was this article valuable?
Here are more articles you may enjoy.
Viewpoint: Japan’s $550B Bet on America—What it Means for the US Insurance Market 
State Farm Paid a ‘Hail’ of a Lot of Claims in 2025 
State High Court Weighs in on Woman Taken for Organ Donation But Was Still Alive 
How Niche Insurance Shielded Bad Bunny From Bad Weather 
