AM Best Affirms Credit Ratings of SIAT-Società Italiana Assicurazioni e Riassicurazioni p.A.
24 Julio 2024 - 1:21PM
Business Wire
AM Best has affirmed the Financial Strength Rating of A-
(Excellent) and the Long-Term Issuer Credit Rating of “a-”
(Excellent) of SIAT-Società Italiana Assicurazioni e
Riassicurazioni p.A. (SIAT) (Italy), a subsidiary of UnipolSai
Assicurazioni S.p.A. (UnipolSai). The outlook of these Credit
Ratings (ratings) is stable.
The ratings reflect SIAT’s balance sheet strength, which AM Best
assesses as strong, as well as its adequate operating performance,
neutral business profile and appropriate enterprise risk management
(ERM).
The ratings also consider, in the form of a rating lift, AM
Best’s expectation that UnipolSai will provide financial support to
SIAT, if needed.
SIAT’s Best’s Capital Adequacy Ratio (BCAR) assessment was at
the very strong level at year-end 2023, and AM Best expects it to
be maintained, at least, at the very strong level over the medium
term. SIAT maintains a strong liquidity profile, with liquid
investments accounting for approximately 148% of net technical
liabilities at year-end 2023. Offsetting factors in the balance
sheet strength assessment include the company’s investment
concentration in Italian government bonds and its dependence on
reinsurance to write high-value risks.
SIAT has a track record of adequate underwriting performance,
with volatility contained by an effective reinsurance programme. In
2023, pre-tax profits amounted to EUR 9.2 million (adjusted by AM
Best for extraordinary income and expenses), with the combined
ratio standing at 86.6% (as calculated by AM Best). SIAT’s
five-year average combined ratio stood at 91.1% (2019-2023) (as
calculated by AM Best). AM Best expects SIAT to continue to report
profits, with combined ratios below 100%, supported by selective
underwriting.
SIAT has an established reputation as a niche insurer in the
marine hull and cargo segments, in which it ranks among the leading
players in Italy. In addition, the company’s business profile is
strengthened by its reciprocal outsourcing agreements with its
parent, UnipolSai.
SIAT benefits from a developed ERM framework, with the risk
function centralised at the group level.
This press release relates to Credit Ratings that have been
published on AM Best’s website. For all rating information relating
to the release and pertinent disclosures, including details of the
office responsible for issuing each of the individual ratings
referenced in this release, please see AM Best’s Recent
Rating Activity web page. For additional information
regarding the use and limitations of Credit Rating opinions, please
view Guide to Best’s Credit Ratings. For information
on the proper use of Best’s Credit Ratings, Best’s Performance
Assessments, Best’s Preliminary Credit Assessments and AM Best
press releases, please view Guide to Proper Use of Best’s
Ratings & Assessments.
AM Best is a global credit rating agency, news publisher and
data analytics provider specialising in the insurance industry.
Headquartered in the United States, the company does business in
over 100 countries with regional offices in London, Amsterdam,
Dubai, Hong Kong, Singapore and Mexico City. For more information,
visit www.ambest.com.
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Andrea Porta Financial Analyst +31 20 808
1700 andrea.porta@ambest.com Jose Berenguer, CFA
Associate Director, Analytics +31 20 808 2276
jose.berenguer@ambest.com Christopher Sharkey Associate
Director, Public Relations +1 908 882 2310
christopher.sharkey@ambest.com Al Slavin Senior Public
Relations Specialist +1 908 882 2318
al.slavin@ambest.com