A.M. Best Extends A+ Rating to U.S. Subsidiary of AXA Corporate Solutions.Business Editors OLDWICK, N.J.--(BUSINESS WIRE)--Jan. 10, 2001 A.M. Best Co. has extended AXA AXA Anguilla, Anguilla (Airport Code) AXA Alpha Chi Alpha AXA Animal Crossing Ahead (online forum community/guide to the game Animal Crossing) AXA Auxiliary Artery Corporate Solutions S.A.'s A+ (Excellent) group financial strength rating to its wholly-owned U.S. subsidiary, AXA Corporate Solutions Life 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. Company (formerly AXA Re Life Insurance Company), Delaware. The rating recognizes the strategic role AXA CS Life performs for, and the financial support it receives from, its parent company, AXA Corporate Solutions (formerly the separate entities: AXA Reassurance S REASSURANCE. When an insurer is desirous of lessening his liability, he may procure some other insurer to insure him from loss, for the insurance he has made this is called reassurance. .A., AXA Global Risks and AXA Cessions). AXA Corporate Solutions, one of the world's leaders in providing financial protection to international clients, is highly profitable and a core member of the AXA Group. AXA Corporate Solutions has unconditionally guaranteed Unconditionally Guaranteed is the eighth LP by Captain Beefheart & the Magic Band, originally released in 1974. Upon release it was criticised for being too commercial, however it failed to give Beefheart any real chart success and peaked at #192 on the Billboard the reinsurance business written by AXA CS Life. The company's participation in the U.S. market for life reinsurance enhances AXA Corporate Solutions' geographical diversification and provides a source of earnings potentially less volatile than non-life reinsurance. The rating acknowledges AXA CS Life's experienced senior management team, expertise in 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. financial service products, high quality invested assets and financial flexibility with the reinsurance, capital and financial guaranty As a verb, to agree to be responsible for the payment of another's debt or the performance of another's duty, liability, or obligation if that person does not perform as he or she is legally obligated to do; to assume the responsibility of a guarantor; to warrant. that AXA Corporate Solutions has provided. The rating also reflects the expectation that the senior management team of AXA CS Life, experienced both in reinsurance and in start-up activities, will effectively implement its business plan. Although the company has been in business since 1995, it essentially started operations in 1998 with a new management team and business strategy. A.M. Best recognizes the risks inherent in developing a new business and has completed extensive due diligence Research; analysis; your homework. This term has caught on in all industries, because it sounds so "wired." Who would want to do analysis or research when they can do due diligence. See wired. on the company's approach to risk management, its investment strategy and the sensitivity of its earnings and capitalization capitalization n. 1) the act of counting anticipated earnings and expenses as capital assets (property, equipment, fixtures) for accounting purposes. 2) the amount of anticipated net earnings which hypothetically can be used for conversion into capital assets. to changes in investment conditions. As a result, A.M. Best is comfortable with AXA CS Life's capacity to withstand potential volatility in investment returns without compromising policyholder Policyholder An individual who owns an insurance policy. security. Like its competitors, AXA CS Life faces a pricing environment that limits profit margins. Although increasing competition will present all life reinsurers with greater challenges, A.M. Best believes the company's capabilities in product development and customer service will provide opportunities for growth. Since 1998, the new management team has refined its business strategy, strengthened controls for financial management and reporting and instituted stricter underwriting processes. The company has made progress in implementing these measures and improvements in its operating performance are expected to continue. A.M. Best will monitor the company's performance closely against its business plan and management of the capital markets risk inherent in its reinsurance products. AXA CS Life represents the life, annuity and health reinsurance operations of AXA Corporate Solutions in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. . Its primary business is the reinsurance of mortality risks associated with variable products for wealth accumulation, retirement income, or wealth transfer. Those risks commonly take the form of guaranteed death or living benefits. The company also provides expertise in underwriting and reinsurance operations in support of AXA Corporate Solutions' operations worldwide. 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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