A.M. Best Assigns Rating to Glacier Reinsurance AG.OLDWICK, N.J. -- A.M. Best Co. has assigned a financial strength rating of A- (Excellent) and an issuer credit rating of "a-"to Glacier glacier, moving mass of ice that survives year to year, formed by the compacting of snow into névé and then into granular ice and set in motion outward and downward by the force of gravity and the stress of its accumulated mass. 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. AG (Glacier Re), the newly formed Swiss reinsurer re·in·sure tr.v. re·in·sured, re·in·sur·ing, re·in·sures To insure again, especially by transferring all or part of the risk in a contract to a new contract with another insurance company. . The outlook for both ratings is stable. A.M. Best believes that the company's prospective risk-adjusted capitalisation n. 1. same as capitalization. Noun 1. capitalisation - writing in capital letters capitalization writing - letters or symbols that are written or imprinted on a surface to represent the sounds or words of a language; "he turned the paper at year-end 2005 is likely to be excellent, based on conservative forecasts for performance and factoring the potential impact of major loss scenarios on the company. A 2005 loss ratio of between 70% and 80% is anticipated, subject to normal loss experience. A comprehensive reinsurance programme placed with highly rated reinsurers is likely to mitigate any major deviation from forecast as a result of the incidence of catastrophic losses. A.M. Best believes Glacier Re's account is likely to be relatively high risk, including a substantial retrocessional account, marine and aerospace reinsurance, as well as war and terrorism business. However, the company has access to a well-diversified book of business, based on the strong relationships of the management team with broker distribution channels. Although A.M. Best anticipates weakening weak·en tr. & intr.v. weak·ened, weak·en·ing, weak·ens To make or become weak or weaker. weak  en·er n. in the
market for many of the classes written by Glacier Re in 2005 and 2006,
the company's position as a relatively small niche reinsurer in a
market where several continental reinsurers have substantially reduced
business volumes is likely to ensure that the company can develop a
profitable account of business.
For current Best's Ratings Best's rating A rating A.M. Best Co. assigns to insurance companies based on the company's ability to meet its obligations to its policyholders. , independent data and analysis on more than 470 reinsurance companies, please visit http://www.ambest.com/reinsurance/. 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 http://www.ambest.com. |
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