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FOR IMMEDIATE RELEASE
OLDWICK - APRIL 24, 2024 11:46 AM (EDT)
AM Best has affirmed the Financial Strength Rating of A (Excellent) and the Long-Term Issuer Credit Ratings (Long-Term ICR) of “a+” (Excellent) of Symetra Life Insurance Company and its subsidiary, First Symetra National Life Insurance Company of New York (New York, NY), together referred to as Symetra Life Group. Concurrently, AM Best has affirmed the Long-Term ICR of “bbb+” (Good) and the Long-Term Issue Credit Rating of “bbb+” (Good) on $250 million 4.25% senior unsecured notes, due 2024 of Symetra Financial Corporation (Symetra). The outlook of these Credit Ratings (ratings) is stable. All companies are headquartered in Bellevue, WA, unless otherwise specified.
The ratings reflect Symetra Life Group’s balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, favorable business profile and appropriate enterprise risk management (ERM).
AM Best views Symetra Life Group’s balance sheet as strong, as measured by quantitative Best’s Capital Adequacy Ratio (BCAR), and qualitative measures with financial support afforded by the ultimate parent, Sumitomo Life Insurance Company, which supports the group’s strategic initiatives. Through past debt capital investments, the parent has enabled the group to execute on key new product development projects and enhanced distribution efforts and current conditions. In 2023, Symetra Life Group paid $207 million in dividends to Symetra to provide capital for new annuities business that the life company ceded to Symetra Bermuda Re, a subsidiary of Symetra. Future dividends are expected to be dependent on operating results.
An early trend of profitability has returned to the group, which is expected to help contribute organically to future business growth efforts. AM Best views the group’s ERM as being matched to the scope of its operation, while adjusting through changing and challenging market conditions. Continued organic capital growth through profitable operations has been factored into the current ratings, which is expected to continue.
This press release relates to Credit Ratings that have been published on AM Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best's Credit Ratings. For information on the proper use of Best’s Credit Ratings, Best’s Performance Assessments, Best’s Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best’s Ratings & Assessments.
AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City.