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FOR IMMEDIATE RELEASE
OLDWICK - SEPTEMBER 21, 2016 10:07 AM (EDT)
A.M. Best has affirmed the Financial Strength Rating (FSR) of A+ (Superior) and the Long-Term Issuer Credit Ratings (Long-Term ICR) of “aa” of First Insurance Company of Hawaii, Ltd. (FICOH) (Honolulu, HI) and its reinsured subsidiaries, collectively referred to as First of Hawaii Group. The outlook of these Credit Ratings (ratings) is stable. (See below for a detailed listing of the companies and ratings).
The ratings reflect the group’s operating results driven by consistently profitable underwriting performance and conservative reserving, its strong balance street and sound local market presence as one of the leading insurance companies in Hawaii. The ratings also consider the operational and financial support provided by the ultimate parent Tokio Marine Holdings, Inc. (TMHD) and its 100% ownership by Tokio Marine North America, Inc., an insurance holding company subsidiary of Tokio Marine & Nichido Fire Insurance Co., Ltd. (TMNF).
These positive rating factors are partially offset by the inherent risks associated with the group operating within a single jurisdiction as it pertains to regulatory, judicial, legislative, and economic factors, and the group’s potential exposure to natural catastrophe and terrorism losses.
Positive rating action could be taken if the group’s operating performance remains strong accompanied by strengthening risk-adjusted capitalization, there is any favorable change in the ratings of TMNF, or if there is a supportive change in A.M. Best’s view of FICOH’s strategic importance to the ultimate parent. Negative rating action could result if underwriting and operating performance falls markedly short of expectations along with a decline in the group’s risk-adjusted capitalization, there is any adverse change in the ratings of TMNF, or if there is an unfavorable change in the strategic importance of the group to the ultimate parent.
The FSR of A+ (Superior) and the Long-Term ICRs of “aa” have been affirmed for First Insurance Company of Hawaii, Ltd. and its following property/casualty subsidiaries:
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.
A.M. Best is the world’s oldest and most authoritative insurance rating and information source.