Credit rating agency AM Best has described Spain-based multinational insurance group MAPFRE S.A.’s planned acquisition of Safety Insurance Group, Inc. as strategically compelling, saying the transaction brings together two insurers with similar regional footprints and product offerings while strengthening MAPFRE’s position in Massachusetts and supporting its expansion across the New England region.
The group’s US subsidiary, MAPFRE U.S.A. Corporation (MAPFRE USA), has entered into a definitive agreement to acquire Safety, a property and casualty insurer with a leading market position in Massachusetts and operations in several north-eastern US states.
Following the announcement, AM Best said the Credit Ratings of MAPFRE’s rated operating subsidiaries remain unchanged. The subsidiaries continue to hold a Financial Strength Rating of A (Excellent) and a Long-Term Issuer Credit Rating of “a+” (Excellent), with stable outlooks.
The agency stated that the ratings continue to reflect its assessment of MAPFRE’s balance sheet strength as very strong, together with the group’s strong operating performance, favourable business profile and appropriate enterprise risk management.
AM Best also highlighted MAPFRE’s international scale and diversification, noting its broad product offering, geographical reach, strong franchise and long-standing customer relationships.
