AM Best has upgraded the financial strength rating of re/insurer Starr’s new Bermuda reinsurer, IQUW Re Bermuda, to A (excellent) and its long-term issuer credit to a+ (excellent).

The outlook for both credit ratings is positive.

IQUW Re Bermuda was initially assigned an A- rating in March 2025 and was placed under review, with positive implications, following the acquisition by re/insurer Starr earlier this year.

In addition, AM Best removed from under review with positive implications and upgraded the long-term issue credit rating to “bbb+” (good) from “bbb-” (good) on $170 million senior unsecured notes, due 2035, issued by IQUW Holdings Bermuda.

The outlook assigned to this rating is positive.

The ratings agency also assessed Starr Re’s balance sheet as very strong and said it had adequate operating performance, neutral business profile and appropriate enterprise risk management.

AM Best cited the operating performance, financial flexibility, capital resources and market profile of Starr as key factors supporting the positive rating change.

“Starr Re’s ratings are underpinned by its strongest level of risk-adjusted capitalisation, as measured by Best’s Capital Adequacy Ratio,” AM best said. “This has been supported by full earnings retention and good underwriting performance in recent years. Starr Re writes intragroup reinsurance and has a small-but-growing book of third-party reinsurance.”

Peter Bilsby, president of international at Starr said AM Best’s A rating is an important endorsement of the firm’s Bermuda platform.

“It reflects our capital position, disciplined underwriting and long-term focus on building a stable, globally diversified underwriting organisation,” Mr Bilsby said.

He said this enhancement underscored Starr’s ability to provide meaningful capacity and dependable long-term partnerships, supported by responsive, empowered underwriting teams.

Starr operates a diversified global speciality re/insurance platform with underwriting operations across the United States, London market, Bermuda, Europe, Asia and Latin America.

Jeff Greenberg, Starr’s chairman and co-chief executive said the upgrade reinforced the confidence brokers and clients can place in Starr’s global platform.

“It demonstrates the depth of our balance sheet, our global reach and the value of experienced teams delivering clarity and consistency in the market,” Mr Greenberg said.