Fidelis Insurance Holdings Limited and its subsidiaries have had their credit ratings upgraded by international financial services ratings agency, A.M. Best.
Specifically, the ratings agency has upgraded the Financial Strength Rating (FSR) to A (Excellent) from A- (Excellent) and the Long-Term Issuer Credit Ratings (Long-Term ICR) to “a” from “a-” of Fidelis Insurance Bermuda Limited, Fidelis Underwriting Limited, and Fidelis Insurance Ireland DAC.
Additionally, A.M. Best has upgraded the Long-Term ICR to “bbb” from “bbb-” of Fidelis Insurance Holdings Limited, the ultimate holding company. Concurrently, reveals A.M. Best, it has also upgraded the Long-Term Issue Credit Rating to “bb+” from “bb” on Fidelis Insurance Holdings Limited’s $304 million 9% preference shares due 2050, of which $242 million is currently outstanding.
“The ratings reflect Fidelis’ balance sheet strength, which AM Best categorizes as very strong, as well as its adequate operating performance, neutral business profile and appropriate enterprise risk management (ERM),” says A.M. Best. “Fidelis maintains the strongest level of risk-adjusted capitalization, as measured by Best’s Capital Adequacy Ratio (BCAR), a conservative loss reserve position, overall strong liquidity, a conservative investment portfolio and demonstrated adequate financial flexibility.”
A.M. Best notes that Fidelis’ group operating performance has been supported by both very strong underwriting returns and solid investment results.
“Fidelis’ disciplined underwriting, experienced management team and its acceptance and recognition by the market have allowed for solid underwriting performance over the past three years,” says the ratings agency.