A.M. Best has affirmed the financial strength and issuer credit ratings of BNY Trade Insurance and The Hamilton Insurance Corporation.
The “A (Excellent)” and “a+” ratings of the BNY Mellon captives reflect both companies’ strong capitalisation, consistent operating performance, solid liquidity and conservative operating strategy.
Partially offsetting these positive rating factors are the companies’ limited market scope, business profile and product mix, according to A.M. Best.
In addition, A.M. Best notes that the ratings recognise BNY Trade and Hamilton’s robust enterprise risk management (ERM) frameworks, as they follow the ERM practices of their parent, BNY Mellon.
The captives are well positioned at their current rating level, and the ratings and outlooks are not expected to be upgraded or downgraded in the near term, according to A.M. Best.
Revisions to the ratings are likely to occur if there is a material shift from their risk profiles that could potentially undermine the stability of the ratings, or sudden changes to ownership, strategy, or significant changes in the companies’ financial condition caused by catastrophe.
