S&P Global Ratings has raised its long-term issuer credit rating for Ascot Group, the global speciality insurance and reinsurance company, to BBB+ from BBB on its strengthened capital position.

S&P has also assigned an A long-term financial strength rating to Ascot's core operating entity, Ascot Bermuda Ltd.

Ascot said: “S&P's rationale in support of the ratings upgrade was attributed primarily to the material increases in Ascot's capital adequacy. Ascot's capital position has improved significantly in recent years due to strong underwriting and investment returns, alongside proactive capital management.

“Ascot's capitalisation is now redundant at the 99.99 per cent confidence level. S&P noted Ascot's lower underwriting volatility compared with similarly rated peers in recent years and its well diversified casualty portfolio across product lines.

“S&P also noted Ascot's exceptional liquidity supported by ample liquid assets, high levels of cash and a portfolio of highly rated and relatively short-dated bonds. The outlook for Ascot's rating is stable.”

Jonathan Zaffino, Ascot’s chief executive and president, said: “We are very pleased with the S&P ratings upgrade. It is a considerable milestone and a strong testament to the successful execution of our strategic plans as we continue to grow a profitable, world-class global speciality company.

“We believe this upgrade reflects our disciplined underwriting and portfolio management, and the financial strength and stability Ascot has built to successfully pursue our mission to be a perfect partner for a less-than-perfect world.”