A.M. Best Affirms Rating of St Paul International.Business Editors OLDWICK, N.J.--(BUSINESS WIRE)--April 26, 2004 A.M. Best Co. has affirmed the A (Excellent) financial strength rating of St Paul International Insurance Company Limited (St Paul International) (London, England). The rating has been removed from under review and assigned a stable outlook. The rating is based on St. Paul St. Paul as a missionary he fearlessly confronts the “perils of waters, of robbers, in the city, in the wilderness.” [N.T.: II Cor. 11:26] See : Bravery International's improving risk-adjusted capitalisation and 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. performance and strong niche business position. Furthermore, the rating reflects the company's strategic importance to The St. Paul Travelers Companies The Travelers Companies (NYSE: TRV) is the second largest underwriter of commercial property casualty and personal insurance in the United States. The company is headquartered in St. Paul, Minnesota and has major operations in Hartford, Connecticut. Inc. (SPTC SPTC Southern Pacific Transportation Company SPTC Satellite Production Test Center (DoD) SPTC Specified Period of Time Contract ) and the explicit support provided by a parental guarantee. An offsetting factor continues to be the potential exposure to the run-off of certain - primarily discontinued - business lines. Strategic importance--Although a relatively small part of the total SPTC organisation, St Paul International is fully integrated into the group's commercial insurance strategy, writing a complimentary book in the UK and Ireland. The group-wide restructuring initiated in late 2001 has resulted in the company achieving a significant turnaround in operating performance, in line with expectations of its parent. Improving risk-adjusted capitalisation--A.M. Best anticipates further improvement in the company's capital position through the retention of earnings during 2004. Expected performance is in excess of net profits of GBP GBP In currencies, this is the abbreviation for the British Pound. 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. 25.7 million (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. 45.5 million) reported in 2003. Increased selectivity selectivity /se·lec·tiv·i·ty/ (se-lek-tiv´i-te) in pharmacology, the degree to which a dose of a drug produces the desired effect in relation to adverse effects. selectivity 1. in 2004 and the run-off of certain business lines (construction and med-mal in particular) and markets (excluding the UK and Ireland) continues to enhance St Paul International's risk profile. Improved underwriting performance--A continued focus on core business has led to a further improvement in underwriting performance in 2003, with a reduction in the combined ratio of 12.2 percentage points to 95.6%. A.M. Best expects a further reduction in the combined ratio in 2004 as poor performing lines are run-off, despite further potential exposure following deterioration in 2003 relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc both continuing and discontinued business. Strong niche business position--St Paul International benefits from the globally recognised St Paul brand and reputation. The company has secured a significant market share in its core commercial specialty business lines, which include solicitors' professional indemnity, transport, the public sector, automotive and technology. 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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