AM Best has assigned a preliminary rating to North End Re Ltd. (Bermuda), the newly launched Bermuda-based reinsurance subsidiary of alternative asset management company Brookfield Asset Management Reinsurance Partners Ltd.
North End Re was given a Preliminary Credit Assessment (PCA) with a Financial Strength Assessment of A- pca (Excellent) and a Long-Term Issuer Credit Assessment of “a-” pca (Excellent), with a stable outlook.
The rating agency said that the PCA reflects North End Re’s strong balance, adequate operating performance, neutral business profile and appropriate enterprise risk management.
It also reflects North End Re’s plan of making a significant capital investment to keep an appropriate level of risk-adjusted capital and regulatory risk-adjusted capital, with the company expecting to use external and internal revolving lines of credit.
AM Best also believes that North End Re in Bermuda complements geographically its sister company, North End Re (Cayman) SPC, which also is starting its activities.
The company has another sister company, Brookfield Annuity Company, that provides pension risk transfer solutions in Canada, which has been in operation for a few years.
