The Bermuda-domiciled captive of the largest power generation and multi-utility company in Colombia has achieved high financial strength and long-term issuer credit ratings.
A.M. Best assigned a financial strength rating of “A- (Excellent)” to Maxseguros EPM, as well as a long-term issuer credit rating of “a-”.
The ratings reflect the captive’s strong risk-adjusted capitalisation, supported by a comprehensive and adequate reinsurance programme, history of consistently strong operating performance, sound risk management capabilities, and conservative balance sheet strategies.
The ratings also recognise the support of its parent, Empresas Publicas de Medellin.
Maxseguros EPM enjoys a growing surplus, which has increased from $5 million to $41.2 million over the past five years.
This is among the factors that mitigates the captive’s limited business and market scope, according to A.M Best.
