A.M Best has affirmed the financial strength rating of “A (Excellent)” and issuer credit rating of “a+” of BNY Mellon’s insurers, Hamilton Insurance and BNY Trade Insurance.
Hamilton and BNY Trade both provide BNY Mellon with comprehensive reinsurance coverages and products.
Hamilton’s ratings reflect the insurer’s excellent risk adjusted capitalisation, strong liquidity and conservative operating strategy. The ratings also recognise Hamilton’s excellent business position and its relationship with its parent, BNY Mellon.
Partially offsetting the positive ratings is Hamilton’s short operating history, limited market scope, product mix and dependence on third parties for processing, servicing and administration.
BNY Trade’s ratings reflect its strong capitalisation, consistently positive operating results, conservative operating strategy and robust enterprise risk management (ERM) framework as it follows its parent, BNY Mellon’s ERM practices.
The ratings also recognise BNY Trade’s excellent business position, as it has close ties to BNY Mellon.
Partially offsetting these positive rating factors are BNY Trade’s limited market scope, product mix and its dependence on third parties.
An additional offsetting factor is BNY Trade’s large underwriting exposure as it offers high gross insurance limits and insurers excess bankers’ professional liabilities with substantial insured values.
