Co. Ltd., has received a rating of "A minus (excellent)'' from A.M. Best Co.

Colonial becomes the second local insurer to get a rating from A.M. Best. Last year competitor Argus Insurance received an "A (excellent)'' rating from A.M.

Best. A.M. Best said the rating reflected Colonial's position as one of three Bermuda insurance groups writing property, casualty, life, health and employee-benefit insurance products.

No one from Colonial was available for comment. Colonial is a member of the Gibbons Group of companies and has investments in insurers in the Cayman Islands, the Bahamas and the British Virgin Islands.

The rating agency said the company, which is 40 years old, had recorded "excellent'' operating results, with underwriting profits in each of the past four years. "The group is well capitalised, with good leverage and excellent liquidity ratios,'' A.M. Best stated. "As an important member of the Gibbons Group of companies, Colonial offers a complete range of financial services in Bermuda and a variety of insurance products throughout the Caribbean.'' A.M.

Best said during the fiscal year ended January 31, 1997 the group increased gross written premiums, underwriting income and capital and surplus.

"The group is Bermuda's leading motor insurer, and 20 percent of income comes from private and commercial property insurance,'' A.M. Best stated.

"Colonial has a tradition of innovation in group health insurance and was the first Bermuda company to employ a staff nurse to address personal concerns.''