Fortitude Re ratings remain unchanged after Asian expansion
AM Best said that credit ratings of Fortitude Reinsurance Company Ltd. and its affiliate, Fortitude International Reinsurance Ltd., remain unchanged following their March 31 announcements.
Fortitude has made it known that it has entered into an agreement to reinsure $4 billion of Taiyo Life Insurance Company’s in-force individual annuity business.
Separately, there will be a $2.1 billion capital infusion from the Carlyle Group and new advisory relationship between Fortitude Re and the Carlyle Group.
FRL and FIRL are domiciled in Bermuda and collectively referred to as Fortitude Re.
Best said the first transaction is Fortitude Re’s first reinsurance transaction covering business in Asia, and is in line with its stated strategy and liability risk profile.
Best continued: “It is noted that Taiyo Life will continue to service policy administration.
“AM Best believes that this transaction will have little impact on Fortitude Re’s risk-adjusted capitalisation.
“The latter transaction (Carlyle Group) is expected to have a neutral to positive impact on Fortitude Re’s risk-adjusted capitalisation levels, but is not expected to change AM Best’s balance sheet strength assessment in the short term.”
Need to
Know
2. Please respect the use of this community forum and its users.
3. Any poster that insults, threatens or verbally abuses another member, uses defamatory language, or deliberately disrupts discussions will be banned.
4. Users who violate the Terms of Service or any commenting rules will be banned.
5. Please stay on topic. "Trolling" to incite emotional responses and disrupt conversations will be deleted.
6. To understand further what is and isn't allowed and the actions we may take, please read our Terms of Service
