A.M. Best has revised the outlook for the long term issuer credit rating (ICR) of Energy Insurance Mutual (EIM) from stable to positive.
The ratings agency also affirmed EIM’s financial strength rating (FSR) of “a” and the long term ICR of A (Excellent).
The outlook of the FSR remains stable.
The ratings are reflective of EIM’s balance sheet strength, categorised as strongest, as well as its adequate operating performance, neutral business profile, and appropriate enterprise risk management.
The upgrade in long term ICR outlook reflects the Barbados-based insurer’s positive overall favourable operating performance, which A.M. Best expects will continue to enhance its already solid balance sheet strength, despite the volatile nature of the business it writes.
The positive rating factors are a result of EIM’s specialised expertise in providing insurance and risk management information and services to its members from the energy utility sector in addition to its ability to generate business opportunities through its niche market strategy.
EIM’s strong member retention is a result of its strategy.
A.M. Best concluded: “The company remains committed to growth in capital and surplus, a well-diversified investment portfolio, and a focus on the long-term stability of the organization for its members.”
