AM Best affirms Lloyd’s credit ratings

AM Best has affirmed Lloyd’s Financial Strength Rating at A+ (Superior) and its Long-Term Issuer Credit Rating at “aa-” (Superior), with a stable outlook.

The ratings reflect Lloyd’s very strong balance sheet, strong operating performance, very favourable global business profile and appropriate enterprise risk management. AM Best said Lloyd’s risk-adjusted capitalisation remains at the strongest level under its capital adequacy assessment, supported by its Central Fund and its approach to member-level capital.

The ratings agency commented on Lloyd’s excellent position in the global general (re) insurance market as a leading writer of specialty, property, and casualty risk. AM Best commented, ‘The growing size of the market demonstrates its ability to attract and retain investors due to its unique business proposition, which offers a capital efficient structure and the ability to write business globally”.

AM best expects Lloyd’s to continue to produce strong underwriting performance across the cycle and to continue to attract capital to the market.