A.M. Best Assigns Ratings to Jefferson Insurance Company.OLDWICK, N.J. -- A.M. Best Co. has assigned a financial strength rating of A (Excellent) and an issuer credit rating of "a+" to Jefferson Insurance Company (Jefferson) (New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of ). The outlook is stable, in line with that of the parent company, Elvia Reiseversicherungs-Gesellschaft AG (Elvia). The ratings reflect the full rating enhancement from the explicit support in the form of a 90% quota share For This article is about quota shares (shares of the quota). For other usages of quota, see, see . A quota share is a specified number or percentage of the allotment as a whole (quota), that is prescribed to each individual entity (see Non-tariff barriers to trade). 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. agreement with Elvia. Elvia acquired Jefferson from Allianz Global Risks US Insurance Company on April 1, 2007 to front the U.S. travel insurance business (mainly trip cancellation business), previously fronted by another insurance company and ceded to Elvia. A.M. Best expects the newly acquired subsidiary to generate gross premiums written When a non-life insurance company closes a contract to provide insurance against loss, the revenues (premiums) expected to be received over the life of the contract are called gross premiums written. of approximately 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. 25 million in 2007 and to grow significantly in 2008 once the existing fronting arrangement has been phased out. In A.M. Best's view, Jefferson's risk-adjusted capitalisation is strong for the risks it is retaining. Prior to the transaction, Jefferson wrote a small book of small commercial and personal non standard risks, which is in run off. The existing liabilities are 100% reinsured through a quota share agreement with Allianz Global Risks. For Best's Ratings, an overview of the rating process and rating methodologies, please visit www.ambest.com/ratings. Founded in 1899, A.M. Best Company is a full-service credit rating organization dedicated to serving the financial services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. industries, including the banking and insurance sectors. For more information, visit www.ambest.com. |
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