A.M. Best Places Ratings of Allianz Life Insurance Companies Under Review.Business Editors OLDWICK, N.J.--(BUSINESS WIRE)--April 15, 2003 A.M. Best Co. has placed the financial strength ratings of A+ (Superior) of Allianz Allianz SE[1], (ISIN: DE0008404005; IPA pronunciation: [alli-anz], and formerly AG) is a large financial service provider headquartered in Munich, Germany. Life Insurance Company of North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere. (Minneapolis) and Allianz Life Insurance Company of 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 (New York) (collectively known as AZLife) under review with negative implications. The under review status reflects the fact that AZLife, a strategically important subsidiary of Allianz AG, historically has been dependent upon support from its parent. This benefit is recognized in AZLife's current financial strength rating. However, Allianz AG's own financial strength rating recently was downgraded to A+ (Superior) from A++ (Superior), as the organization's capital position and financial flexibility have come under pressure from poor operating results and difficult economic conditions. As a result, A.M. Best believes Allianz AG's capacity to support AZLife's operations and growth strategy has been affected. AZLife currently is exploring various alternatives that could enhance its ability to meet its capital needs. If AZLife undertakes actions that A.M. Best believes will benefit its long-term Long-term Three or more years. In the context of accounting, more than 1 year. long-term 1. Of or relating to a gain or loss in the value of a security that has been held over a specific length of time. Compare short-term. business profile, earnings capabilities 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. , AZLife's rating could be 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. . However, if A.M. Best believes there are shortfalls in AZLife's plans or that the timing and degree of the expected benefits are uncertain, AZLife's rating is likely to be downgraded. A.M. Best will be discussing these plans with AZLife's management over the coming weeks, at which time the under review status will be resolved. 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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