The ratings of Aon Corp. and its subsidiaries were put on CreditWatch with negative implications by Standard & Poor’s (S&P) on April 20.
The rating action came subsequent to Aon’s announcement that it would be spinning off its underwriting businesses to existing shareholders. Companies affected by the proposed spin-off include Combined Insurance Co. of America, Combined Life Insurance Co. of NY, Virginia Surety Co. Inc., London General Insurance Co. Ltd. and Aon Warranty Group Inc.
S&P expressed concerns that note holders of Aon paper will lose the benefits of diversification and capital support afforded by Aon’s ownership of the insurance operations.
Topics Aon
Was this article valuable?
Here are more articles you may enjoy.
Trump Demands $1 Billion From Harvard as Prolonged Standoff Appears to Deepen 
Florida Senate President Says No Major Insurance Changes This Year 
Allstate Doubles Q4 Net Income While Auto Underwriting Income Triples 
Insurance Broker Stocks Sink as AI App Sparks Disruption Fears From This Issue
