A.M. Best Company has affirmed the A+ (Superior) rating of American Re-Insurance Company and its affiliates, American Alternative Insurance Corporation (AAIC) and Princeton Excess & Surplus Lines Insurance Company. The A+ ratings were assigned a Stable Outlook, an indication that no future change is expected provided American Re continues to generate good results. The A+ rating is Best’s second highest.
John Phelan, CEO of American Re, noted, “The affirmation of American Re’s A+ rating is an extremely important development as the market continues its gradual flight to quality. We have the right people, business models and strategies to be one of the most respected and profitable reinsurers in the U.S. The rating affirmation follows American Re’s record 6-month results and our recent designation as the Best Overall Reinsurer in the U.S. in the 2003 Flaspöhler Research survey of top reinsurers in the U.S.”
A.M. Best’s rating affirmation follows Friday’s announcement that Munich Re intends to contribute $300 million of new capital to the Company before year-end to enhance its financial strength and to position American Re for profitable growth opportunities in the U.S. marketplace.