AM Best has upgraded the long-term issuer credit rating of Group Ark Insurance Ltd to a+ from a, citing the company’s “track record of profitability” and continued balance sheet strength. The financial strength rating was affirmed at A (Excellent), with both outlooks now stable.

Gail, based in Bermuda, is a wholly-owned subsidiary of Ark Insurance Holdings Ltd and serves as the group’s insurance and reinsurance vehicle for its Lloyd’s corporate member as well as third-party business. AM Best also upgraded the long-term issue credit ratings on Gail’s outstanding subordinated notes.

In its announcement, AM Best said Ark’s balance sheet remains “very strong”, supported by the strongest level of risk-adjusted capitalisation under Best’s capital adequacy ratio model, prudent reserving, and a conservative investment portfolio. The agency noted that catastrophe exposure remains a material factor but is expected to be managed through reinsurance and exposure controls.

The upgrade reflects Ark’s underwriting performance across recent years. AM Best pointed to a consolidated five-year return on equity of 24 per cent and a net combined ratio of 88 per cent. For 2024 and the first nine months of 2025, Ark reported combined ratios of 87.7 per cent and 87.9 per cent, respectively, helped by reserve releases and higher investment income.

Ark reported gross written premium of $2.2 billion in 2024 and $2.3 billion through the first nine months of 2025. AM Best said the company’s neutral business profile reflects a diversified book across its Lloyd’s and Bermuda platforms, supported by experienced management and underwriting teams.