A.M. Best Upgrades Rating of Markel International Insurance Company.Business Editors OLDWICK, N.J.--(BUSINESS WIRE)--June 30, 2003 A.M. Best Co. has upgraded the financial strength rating to A- (Excellent) from B++ (Very Good) of Markel International Insurance Company Ltd (MIIC MIIC Mouvement International des Intellectuels Catholiques (French) MIIC Movimiento Internacional de Intelectuales Catolicos (Spanish) MIIC Major Item Information Center ), United Kingdom. The outlook is stable. This rating action reflects A.M. Best's revised view of MIIC as strategically important to Markel 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. Insurance Group (Markel). Historically, the financial strength rating has not benefited from any implicit support. Other rating factors include MIIC's prospective excellent risk-adjusted capitalisation and improving 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. Strategic importance to parent--A.M. Best has revised its view of MIIC as strategically important to Markel as a result of the committed capital support and the successful implementation of Markel's underwriting philosophy. A.M. Best believes MIIC offers additional business opportunities for Markel through its provision of complementary underwriting lines and the development of Markel's brand in the London insurance market. Prospective excellent capital base--Following the erosion of capital over the last three years, Markel has agreed to provide an additional 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 million, which would improve MIIC's risk-adjusted capitalisation to an excellent level. A.M. Best expects MIIC to maintain a capitalisation commensurate com·men·su·rate adj. 1. Of the same size, extent, or duration as another. 2. Corresponding in size or degree; proportionate: a salary commensurate with my performance. 3. with the current rating level thereafter. Improved underwriting performance--Retained losses of USD 54 million between 2000 and 2002 reflected not only weak trading conditions and World Trade Center (WTC WTC World Trade Center, see there ) losses but poor underwriting control and deterioration of old year liabilities, in particular asbestos related claims. Since acquiring the Terra Nova Terra Nova may refer to: In geography:
Expectations: -- This rating upgrade is predicated upon the aforementioned injection of additional capital by the end of July 2003. -- A.M. Best expects MIIC to continue its prudent underwriting strategy in line with that of its parent company. -- A.M. Best does not foresee an adverse loss development for asbestos related claims over and above that already factored into MIIC's risk-adjusted capital requirements Capital requirements Financing required for the operation of a business, composed of long-term and working capital plus fixed assets. . 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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