AXIS forms holding company

One of the Bermuda-based reinsurers formed in the wake of the September 11 terrorist attacks has a new holding company. AXIS Capital Holdings Ltd. became the holding company for AXIS Specialty Ltd. and its subsidiaries on December 31, 2002 and is a Class IV insurer.

AXIS Specialty continues to operate as a Bermuda domiciled Class IV insurance and reinsurance company, the company said. John Charman, chief executive of AXIS Capital, said: "The formation of the holding company is an important part of the continuing development of our capital infrastructure and gives us additional flexibility to accomplish our ongoing operational goals."

SCOR financial rating affirmed

A.M. Best Co. has affirmed the financial strength rating of A- (Excellent) of SCOR (Paris, France) and its guaranteed subsidiaries, including Bermuda-based Commercial Risk Reinsurance Co. Limited. The parent company successfully completed a EUR 381 million rights issue in December and the rating actions reflect this success as well as more conservative underwriting plans for 2003 and a higher degree of prudence in reserves following third quarter reserve additions. A.M. Best believes that these measures provide for a higher degree of prudence, however scope for further deterioration remains and therefore a negative outlook was assigned.

The rating agency said SCOR's rating is predicated upon a 2002 consolidated net loss in line with the company's third quarter estimate of EUR 400 million. A review of SCOR's structure, risk control system and corporate governance will be completed by the end of January.