Attorneys' Liability Assurance Society (Bermuda) Ltd. (ALAS), which provides professional liability insurance to lawyers, had had its AA- insurer financial strength rating affirmed by Fitch Ratings.

Fitch said the "very strong" rating reflected the company's good competitive position and strategy in its market, its "exceptionally strong capital position" and its comprehensive reinsurance protection. "Partially offsetting these positives are the underwriting volatility inherent in the lawyers' liability insurance line, concentration risk as a monoline professional liability insurer, and the competitive nature of the lawyers' liability market," the agency said.

Fitch said ALAS generally charged higher premiums than most of its competitors, but had been successful at balancing its desire to remain price-competitive and provide exceptional loss prevention and claims services to its members with its need to maintain its financial strength. ALAS' surplus increased 24 percent to $389 million in 2004 due to favourable underwriting and investment results, Fitch said.