A.M. Best has awarded the financial strength rating of “A- (Excellent)” and issuer credit rating of “a-” to Ardellis Insurance, based in Bermuda. The outlook for both ratings is stable.
Ardellis’s ratings reflect its conservative underwriting leverage, strong level of capitalisation and profitable operating results driven by its underwriting performance.
The ratings are partially offset by Ardellis’s relatively high retention and limited profile as a single parent captive of Universal Forest Products.
Ardellis provides coverage for general liability, auto liability, workers’ compensation, property and medical stop loss. It also assumes minor medical stop loss exposure from third parties.
“Rating drivers that could lead to a positive outlook and/or an upgrading of Ardellis’ ratings are material and sustained improvement in its underwriting performance and capitalisation. Additionally, improved overall risk management and reduced overall net exposure could lead to an upgrading of the ratings,” said the rating firm in a recent statement.
