A.M. Best Affirms Ratings of Maiden Holdings, Ltd. and Its Subsidiaries
June 13 2011 - 3:38PM
Business Wire
A.M. Best Co. has affirmed the financial strength rating
of A- (Excellent) and issuer credit ratings of “a-” of Maiden
Insurance Company Ltd. (MIC) (Hamilton, Bermuda), Maiden
Reinsurance Company (MRC) (Maryland Heights, MO) and its wholly
owned subsidiary, Maiden Specialty Insurance Company (MSIC)
(Raleigh, NC), all of which operate through an intercompany quota
share reinsurance agreement. Concurrently, A.M. Best has affirmed
the ICR of “bbb-” of the parent holding company, Maiden
Holdings, Ltd. (Maiden Holdings) (Hamilton, Bermuda) [NASDAQ:
MHLD]. The outlook for all ratings is stable.
The ratings of the group reflect its solid risk-adjusted
capitalization achieved through capital contributions from Maiden
Holdings and the operational benefits that MIC derives as a quota
share partner with AmTrust Financial Services, Inc.’s (AFSI)
Bermuda reinsurance subsidiary, AmTrust International Insurance,
Ltd., (AII) and American Capital Acquisition Corporation
(ACAC). In addition, the ratings reflect MRC and MSIC’s strategic
importance to Maiden Holdings as a dedicated U.S. reinsurance
platform providing treaty, accident and health and specialty
facultative reinsurance.
Partially offsetting these positive rating factors is the
execution risk faced by the group’s management in achieving its
business plans and integrating newer business. Despite these
concerns, MIC’s outlook is supported by the financial commitment of
Maiden Holdings, its seasoned management team and the dedicated
distribution MIC, MRC and MSIC shares with AFSI and ACAC.
The principal methodology used in determining these ratings is
Best’s Credit Rating Methodology -- Global Life and Non-Life
Insurance Edition, which provides a
comprehensive explanation of A.M. Best’s rating process and
highlights the different rating criteria employed. Additional key
criteria utilized include: “Risk Management and the Rating Process
for Insurance Companies”; “Understanding BCAR for Property/Casualty
Insurers”; “Rating Members of Insurance Groups”; “Understanding
Universal BCAR”; “A.M. Best’s Ratings & the Treatment of Debt”;
and “Natural Catastrophe Stress Test Methodology.” Methodologies
can be found at www.ambest.com/ratings/methodology.
Founded in 1899, A.M. Best Company is the world's oldest and
most authoritative insurance rating and information source. For
more information, visit www.ambest.com.
Copyright © 2011 by A.M. Best Company,
Inc. ALL RIGHTS RESERVED.
Maiden (NASDAQ:MHLD)
Historical Stock Chart
From Aug 2024 to Sep 2024
Maiden (NASDAQ:MHLD)
Historical Stock Chart
From Sep 2023 to Sep 2024