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FOR IMMEDIATE RELEASE
LONDON - FEBRUARY 23, 2018 10:52 AM (EST)
A.M. Best has affirmed the Financial Strength Rating of A (Excellent) and the Long-Term Issuer Credit Rating of “a+” of iptiQ Life S.A. (Luxembourg) (iptiQ), the ultimate parent of which is Swiss Re Ltd. The outlook of these Credit Ratings (ratings) remains stable.
The ratings reflect iptiQ’s balance sheet strength, which A.M. Best categorises as very strong, as well as its marginal operating performance, limited business profile and very strong enterprise risk management, as a member of the Swiss Re group. The ratings also receive lift from iptiQ’s ultimate parent company, Swiss Re Ltd. A.M. Best expects the Swiss Re group to continue to provide support to iptiQ when required, due to its important role in the group’s long-term plans to grow its individual life and health insurance business.
iptiQ’s risk-adjusted capitalisation, as measured by Best’s Capital Adequacy Ratio, is assessed as strongest as at year-end 2016, benefiting from its low net underwriting leverage and conservative investment portfolio allocation. The company also benefits from very strong internal reinsurance support provided by the Swiss Re group and from regular capital injections from Swiss Re Ltd to support growth and cover operating losses in the company’s start-up phase. iptiQ was established in 2014 and underwrites primary life and health retail policies sold through distribution partners. Currently, the company has a limited market position and a concentrated portfolio in terms of products and distribution partners.
This press release relates to Credit Ratings that have been published on A.M. 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 A.M. Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Understanding Best’s Credit Ratings. For information on the proper media use of Best’s Credit Ratings and A.M. Best press releases, please view Guide for Media - Proper Use of Best’s Credit Ratings and A.M. Best Rating Action Press Releases.
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