AM Best has awarded the financial strength rating of ‘A’ (Excellent) and the long-term issuer credit rating of ‘a’ (Excellent) to Eni Insurance (EIS), a captive of Italian-based energy company Eni.
The outlook of these credit ratings has been assigned as ‘stable’.
The ratings demonstrate EIS’s balance sheet strength, which AM Best assesses as very strong, as well as its strong operating performance, neutral business profile and appropriate enterprise risk management.
EIS’s balance sheet strength assessment is evidenced by its risk-adjusted capitalisation, which is at the strongest level. The captive's offsetting rating factor would be its reliance on reinsurance to underwrite large risks, AM Best notes however that the risks associated with this reliance have been mitigated by well-established relationships with high-quality reinsurers.
They also highlight that EIS's ratings benefit from being a single-parent captive, which is well-integrated into Eni’s company-wide risk management framework.
On 1 February 2025, a cross-border merger operation saw Eni Insurance Designated Activity Company (EID) transferring its assets to EIS, to become the new captive insurer of Eni. EID ceased to exist as a result of the cross-border merger.
