Global specialty re/insurer SiriusPoint, has had its ratings outlook revised from ‘Negative’ to ‘Stable’ by S&P Global Ratings (S&P).
According to the announcement, this move reflects the credit rating agency’s” expectation that SiriusPoint will continue to post strong and improving underwriting results in 2023-2025, with combined ratios around 95% and capital maintained at the ‘AA’ level.”
Scott Egan, SiriusPoint’s CEO, noted that S&P’s decision to revise the company’s outlook to ‘Stable’ recognizes their hard work, dedication and collective effort to establish a stable platform for 2024 and beyond.
He added: “This is an important moment in our journey, and the outcome demonstrates that we are taking the right actions to strengthen our business. We have built both capital and cultural resilience, we have executed well against our strategy, and we have proof points to be proud of. We thank our colleagues, investors, clients, and partners for their belief and support in our business.”
SiriusPoint is currently attributed an ‘A-’ insurer financial strength rating and a ‘BBB’ long-term issuer credit rating by S&P. The reinsurer, a spokesperson stated, continues to benefit from a strong capital position above the ‘AA’ confidence level based on S&P’s risk-based capital model.
Egan concluded: “We’re just over a year into our journey. Our focus remains on simplifying our business, reducing volatility and ultimately, continuing to build profitability. While we’re making great strides, there is still work to be done but I’m confident in our plans for the future.”
The news of this credit rating move came shortly after SiriusPoint released its financial results for the third quarter of 2023. The re/insurer reported an improved combined ratio of 88%, a net income of $58mn, and an underwriting profit of $43mn in the quarter.
