Best rating for North End Re
Credit ratings agency AM Best has assigned a preliminary credit assessment to start-up company North End Re Ltd (Bermuda).
The agency said it has assigned a financial strength assessment of A- pca (Excellent) and a long-term issuer credit assessment of “a-” pca (Excellent).
The outlook assigned to these PCAs is stable, AM Best said.
The company is a wholly owned direct subsidiary of Brookfield Asset Management Reinsurance Partners Ltd.
AM Best said the PCA reflects North End Re Ltd’s balance sheet strength, which it assesses as strong, as well as its adequate operating performance, neutral business profile and appropriate enterprise risk management.
It added that the PCA reflects North End Re Ltd’s plan of making a significant capital investment to keep an appropriate level of risk-adjusted capital, as measured by Best’s capital adequacy ratio and regulatory risk-adjusted capital.
It said the company expects to use external and internal revolving lines of credit.
Brookfield Asset Management Inc provides security and resources, especially in the asset management space.
The ratings agency said North End Re Ltd complements geographically its sister company, North End Re (Cayman) SPC, which also is starting its activities.
The company has another sister company, Brookfield Annuity Company, that provides pension risk transfer solutions in Canada, which has been in operation for a few years, AM Best said.
North End Re Ltd has been granted a Long Term Class E license by the Bermuda Monetary Authority.