A.M. Best Affirms Rating of Mapfre Reinsurance Corporation.Business Editors A.M. Best Co. has affirmed af·firm v. af·firmed, af·firm·ing, af·firms v.tr. 1. To declare positively or firmly; maintain to be true. 2. To support or uphold the validity of; confirm. v.intr. the A (Excellent) financial strength rating of U.S.-based Mapfre Reinsurance The contract made between an insurance company and a third party to protect the insurance company from losses. The contract provides for the third party to pay for the loss sustained by the insurance company when the company makes a payment on the original contract. Corporation (MRC See Maximum return criterion. ), Florham Park, New Jersey Florham Park is a borough in Morris County, New Jersey, United States. As of the United States 2000 Census, the borough population was 8,857. Florham Park was incorporated as a borough by an Act of the New Jersey Legislature on March 9, 1899, from portions of Chatham . The outlook is stable. This affirmation reflects A.M. Best's continued view of the company as being strategically important to its immediate parent, Spain-based Mapfre Re, Compania de Reaseguros, S.A. (A+ Superior), which, in turn, benefits from its core status to Mapfre Mutualidad de Seguros y Reaseguros (A+ Superior), the ultimate parent to the Mapfre Group, commercially known as Sistema Mapfre. The rating also factors MRC's increasing penetration in the U.S. market, the company's experienced management team and maintenance of excellent capital via a net-worth maintenance agreement provided by Mapfre Re. In addition, the parent company provides an aggregate stop-loss agreement that mitigates MRC's underwriting Underwriting 1. The process by which investment bankers raise investment capital from investors on behalf of corporations and governments that are issuing securities (both equity and debt). 2. The process of issuing insurance policies. exposures. Adjusted capital and surplus increased marginally, after a USD USD In currencies, this is the abbreviation for the U.S. Dollar. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. 5 million contribution by Mapfre Re, to USD 102.5 million at year-end December 31, 2001. A.M. Best believes the current capital base is sufficient to support the company's projected business growth over the short to medium term. No additional capital contributions are envisaged. Offsetting these positive rating factors are the company's limited track record and its relatively small size in the highly competitive U.S. reinsurance market. A.M. Best Co., established in 1899, is the world's oldest and most authoritative insurance rating and information source. For more information, visit A.M. Best's Web site at www.ambest.com. |
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