London headquartered insurance and reinsurance marketplace Lloyd’s has announced that S&P has revised its financial strength rating to ‘AA–’; outlook stable, from ‘A+’; outlook stable.
According to Lloyd’s, the rating upgrade reflects the improvement in its balance sheet strength, which S&P has assessed to be ‘excellent’.
The rating agency noted that another factor in the upgrade is Lloyd’s very strong capital and solvency positions, with profitability in both underwriting and investments and strong premium growth evidenced in its 2023 H1 results.
S&P also highlighted the corrective underwriting actions taken by Lloyd’s in recent years – focused on robust underwriting discipline through better oversight of syndicates – as a key reason for Lloyd’s improved performance.
Burkhard Keese, Lloyd’s CFO, commented, “This latest upgrade reinforces Lloyd’s financial strength and resilience, and is a welcome testament to the progress made in recent years to improve performance and strengthen Lloyd’s balance sheet.
“Financial strength ratings are vital indicators to our customers, our market, and our investors. This upgrade provides a renewed optimism that we will continue on our positive financial trajectory and deliver a strong financial outlook for 2023.”
