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FOR IMMEDIATE RELEASE
OLDWICK - AUGUST 19, 2016 11:10 AM (EDT)
A.M. Best has affirmed the financial strength rating of A (Excellent) and the issuer credit rating of “a” of Liberty Mutual Insurance Europe Limited (LMIE) (United Kingdom). The outlook for each rating is stable. Concurrently, A.M. Best has withdrawn the ratings in response to the company’s request to no longer participate in A.M. Best’s interactive rating process.
The rating affirmations acknowledge LMIE’s solid risk-adjusted capitalization, favorable five-year average operating performance, albeit declining in recent years, and brand recognition achieved as a strategic member of the global franchise led by Liberty Mutual Insurance Company (LMIC). The ratings also consider the explicit support provided by LMIC in the form of a financial guarantee and operating synergies achieved with affiliates. These positive rating factors are partially offset by LMIE’s earnings fluctuations, recent above-average growth, and risks associated with achieving adequate pricing given challenging underwriting conditions in its markets.
This press release relates to rating(s) 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.
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