Accredited Surety & Casualty Company, Inc, the Florida-based insurance subsidiary of Randall & Quilter Investment Holdings Ltd. (R&Q), has had it’s A.M. Best group rating increased from VII to VIII.
The increase reflects the improved balance sheet strength of Accredited and R&Q following successful equity and debt capital raises in December 2018 and March 2019.
A.M. Best explained that R&Q’s balance sheet strength is underpinned by its risk-adjusted capitalisation being at the strongest level.
R&Q said that the group upgrade, in combination with the recent affirmation of Accredited’s A- (excellent) financial strength rating, will provide further support and growth momentum to the company’s focus on program underwriting on behalf of U.S MGAs.
Counterparties often require a minimum group rating, the Bermudian insurer noted, which is particularly important in program underwriting partnerships where financial strength ratings are an essential indication of the balance sheet strength a company and its ability to stand behind its commitments.
“We are delighted to receive the Group upgrade by AM Best,” said Ken Randall, Chairman and CEO of R&Q. “In two years, R&Q has become a leading provider of high-quality program underwriting capacity in both the US and Europe.”
“Crucial to this offering is our AM Best A- (excellent) financial strength rating which is a badge of confidence that our partners can have in R&Q’s capital strength and has been a driving force in our growth,” he continued.
“In 2018 R&Q contracted with MGA’s to write estimated Gross Written Premium of circa $500mn and expects to maintain similar growth momentum in 2019.”
Todd Campbell, President and CEO of Accredited, also commented: “In 2018, AM Best upgraded R&Q’s group strength rating from VI to VII and it prompted yet more interest from prospective business partners keen to explore underwriting partnerships with Accredited in the US.
“We expect the same positive impact again as Accredited’s unique offering – high quality, fully licenced and AM Best A- rated capacity – is clearly valued by our partners.”
