A.M. Best Co. This is the Argus' first rating by A.M. Best.

"The rating reflects the group's leading position in providing employee benefits -- particularly health, pension, group life and long-term disability products -- and its growing property and casualty operations,'' a press release stated.

Argus is the fourth largest capitalised local company trading on the Bermuda Stock Exchange. During its fiscal year ended March 31 the Argus group of companies grew in terms of shareholders equity, earnings per share and assets.

Argus share price has risen by about 14 percent since the start of the year.

"The group also increased its market share in motor insurance, launched a new pension product and created an Internet site to give customers access to on-line motor insurance quotations,'' the release stated. Argus pension plans grew by 15 percent during 1997, with $17.5 million in deposits. Total net premium income grew to $34.6 million. The report noted Argus management is looking into marketing its services overseas.

Argus managing director and chief executive officer John Sainsbury said the company has was doing life insurance and pension business in the Cayman Islands and was doing estate planning for high net worth individuals in the US through contacts there.

"A.M. Best believes these types of initiatives will solidify Argus' competitive position, therefore, the long-term rating outlook is stable,'' the release stated.