A.M. Best Upgrades Ratings of International Insurance Company of Hannover Limited.OLDWICK, N.J. -- A.M. Best Co. has upgraded the financial strength rating (FSR (Free System Resource) In Windows 3.x, the amount of unused memory in various 64K blocks reserved for managing current applications. Every open window takes some space in this area. See Windows memory limitation. ) to A (Excellent) from A- (Excellent) and the issuer credit rating (ICR (Intelligent Character Recognition or Image Character Recognition) The machine recognition of hand-printed characters as well as machine printing that is difficult to recognize. ) to "a+" from "a-" of International Insurance Company of Hannover Limited (Inter Hannover) (United Kingdom), a subsidiary of Hannover Rueckversicherung AG (Hannover Re Hannover Re (FWB: HNRGn), in German Hannover Rückversicherung AG, with gross premium of around €9 billion in 2006, is one of the five largest reinsurance groups in the world. Its headquarters are in Hanover, Germany. ) (Germany). The outlook for both ratings is stable. The upgrades reflect Inter Hannover's closer integration with Hannover Re and increased 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. support from Hannover Re and affiliates. A.M. Best expects Inter Hannover's stand-alone risk-adjusted capitalisation to remain strong in 2009. The ratings factor Inter Hannover's importance to Hannover Re as a source of direct business. Hannover Re has strengthened the reinsurance support it provides to Inter Hannover, and from 2009 onwards on·ward adj. Moving or tending forward. adv. also on·wards In a direction or toward a position that is ahead in space or time; forward. Adv. 1. will reinsure 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. most of Inter Hannover's single risk and delegated authority Delegated authority is an authority obtained from another that has authority since the authority does not naturally exist. Typically this is used in a government context where an organization that is created by a legitimate government, such as a Board, City, Town or other business via 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). agreements. A.M. Best believes that the additional reinsurance support, which has been accompanied by increased integration between Inter Hannover and Hannover Re's business units, marks a strengthening of the importance of the company to Hannover Re. A.M. Best anticipates that Inter Hannover will report a small overall profit in 2008, despite soft market conditions. The company's profitability is expected to improve in 2009 and 2010, primarily reflecting increased commission income from Hannover Re on ceded business. In A.M. Best's opinion, Inter Hannover has a good business profile, supported by Hannover Re. The company writes large commercial single risks with a focus on the London market and Scandinavian business, as well as delegated authority business, which is written primarily through European agencies and brokers and has a focus on small commercial and personal lines business. For Best's Credit Ratings, an overview of the rating process and rating methodologies, please visit www.ambest.com/ratings. The principal methodologies used in determining these ratings, including any additional methodologies and factors, which may have been considered, can be found at www.ambest.com/ratings/methodology. Founded in 1899, A.M. Best Company is a global full-service credit rating organization dedicated to serving the financial and health care service industries, including insurance companies, banks, hospitals and health care system providers. For more information, visit www.ambest.com. |
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