The Bermuda Monetary Authority has removed Egan-Jones Ratings Co from its list of recognised credit ratings providers, according to the regulator’s latest capital and solvency guidance for insurers.

Under the Bermuda Capital and Solvency Return 2025 Instruction Handbook for Class 4, 3B and 3A insurers, the BMA now recognises Standard & Poor’s, Moody’s, Fitch, AM Best, Morningstar Dominion Bond Rating Service, Japan Credit Rating Agency and Kroll Bond Rating Agency.

Egan-Jones, which had appeared on the list in previous years, is no longer included.

The recognised ratings providers play a role in determining insurers’ solvency capital requirements, meaning the change could affect how certain credit exposures are treated by the regulator.

An Egan-Jones spokesperson told Insurance Journal that the firm was aware of the development and was engaging with regulators. “Our performance and compliance remain superb and we are confident we can resolve this issue and address any concerns,” the spokesperson said, adding that the firm has no clients headquartered in Bermuda.

The change comes as global regulators increase scrutiny of credit ratings in private markets. The Financial Stability Board is examining concerns about “ratings shopping” in private credit, where firms may seek out the most favourable ratings from multiple providers. The board said in its Global Monitoring Report on non-bank financial intermediation that there is too little data on private credit.

Officials are also assessing whether private credit ratings face weaker safeguards than securitised products, which are subject to tighter post-financial-crisis rules. The Bank of England is expected to review the role of ratings agencies as part of a system-wide stress test of private markets, with results due in 2027.

The US Securities and Exchange Commission has also been probing Egan-Jones’ business practices. In 2022, it charged the company and its founder and chief executive, Sean Egan, with violating conflict-of-interest provisions.