A.M. Best has assigned a financial strength rating of A- (Excellent) and a long-term issuer credit rating (ICR) of “a-” to Accredited Specialty Insurance Company (ASI), based in Arizona.
The outlook assigned to these credit ratings is stable.
ASI is a newly formed excess and surplus (E&S) lines carrier for Randall & Quilter Investment Holdings (R&Q).
A.M. Best stated that the ratings of ASI reflect the consolidated balance sheet strength of R&Q, which A.M. Best categorised as very strong, as well as its adequate operating performance, neutral business profile and appropriate enterprise risk management (ERM).
ASI is fully owned by R&Q, and the parent maintains ultimate senior management responsibility for this company. ASI provides excess and surplus lines licensing and underwriting capabilities for the group’s opportunities in the US. ASI leverages knowledge, expertise and experience from its international colleagues to employ a common strategy for R&Q worldwide.
In addition, R&Q provides infrastructure support, integration, common ERM and financial flexibility to ASI.
R&Q currently maintains a long-term ICR of “bbb-.”
In addition, its subsidiaries, Accredited Surety and Casualty Company, Inc. and Accredited Insurance (Europe) Limited, currently maintain an FSR of A- (Excellent) and long-term ICRs of “a-.”
The outlook of these ratings is stable and remain unchanged at this time.
Commenting on the ratings, William Spiegel, deputy executive chairman of R&Q, said: “We are delighted to receive this rating for Accredited Specialty Insurance Company from A.M. Best, demonstrating both confidence in our ambitions to build a leading E&S programme manager and the business’ capital strength.”
He noted that they are also pleased to have the ratings for ASC and AIEL affirmed, underpinning R&Q’s established position “as a leading provider of high-quality programme capacity in both the US and Europe.”
“As a programme manager with a rating of A- and a financial size of IX, the Accredited companies are one of the best capitalised programme managers making us a prime choice for MGAs and reinsurers,” he stated.
Spiegel continued: “ASI is now both rated and licensed and set to take advantage of the many opportunities that the vibrant E&S market offers. We already have a strong pipeline and are well positioned to begin writing business and building scale. The US MGA market is approaching $60 billion in annual premiums and most MGAs operate within the E&S market. We are excited by the significant opportunity we have to build a meaningful player in the E&S market to complement our leading Admitted Market programme business, ASC.”
“We have now delivered on our strategic objective of establishing Accredited as a comprehensive programme management solutions provider in all its major markets,” he concluded.
