SINGAPORE--(BUSINESS WIRE)--A.M. Best has affirmed the Financial Strength Rating of A- (Excellent) and the Long-Term Issuer Credit Rating of “a-” of nib nz limited (nib nz) (New Zealand). The outlook of these Credit Ratings (ratings) is stable.
The ratings reflect nib nz’s strong risk-adjusted capitalization and continued favorable operating performance. The company’s strong risk-adjusted capitalization, as measured by Best’s Capital Adequacy Ratio (BCAR), is due to its low product risk profile, conservative investment mix and favorable liquidity position. In addition, nib nz has a good performance track record, with an average operating ratio of approximately 91% over the past five years.
While positive rating actions are unlikely, negative rating actions may occur if inadequate product pricing leads to underwriting losses. Additionally, the ratings could be downgraded if there is material deterioration in the consolidated financial condition of nib nz’s ultimate parent, arising from a significant impairment of goodwill or underwriting losses.
Ratings are communicated to rated entities prior to publication. Unless stated otherwise, the ratings were not amended subsequent to that communication.
This press release relates to Credit Ratings that have been published on A.M. Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see A.M. Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Understanding Best’s Credit Ratings. For information on the proper media use of Best’s Credit Ratings and A.M. Best press releases, please view Guide for Media - Proper Use of Best’s Credit Ratings and A.M. Best Rating Action Press Releases.
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Sin Yee Chuah, +65 6589 8400, ext. 219
Associate Financial Analyst
Jason Shum, +65 6589 8400, ext. 217
Senior Financial Analyst
Christopher Sharkey, +1 908-439-2200, ext. 5159
Manager, Public Relations
Jim Peavy, +1 908-439-2200, ext. 5644
Director, Public Relations