AM Best affirms rating of utility company Enel’s captive

AM Best has affirmed the Financial Strength Rating (FSR) of ‘A-’ (Excellent) of Enel Reinsurance - Compagnia di Riassicurazione (Enel Re), the captive of multinational electric utility company Enel.

The ratings reflect AM Best's assessment of Enel Re’s balance sheet strength as very strong, its adequate operating performance, neutral business profile, and appropriate enterprise risk management.
Enel Re’s risk-adjusted capitalisation, measured by Best’s Capital Adequacy Ratio (BCAR), remains at the strongest level at year-end 2024, and the company expects to maintain this level over the medium term. The captive benefits from good liquidity and low reinsurance dependence.
A partially offsetting factor for the ratings is Enel Re’s potential exposure to large losses due to its high net retention per risk, which could introduce volatility in capitalisation levels.
Enel Re is the captive insurer of the Enel S.p.A. group and plays a fundamental role in managing the group’s risk exposures.

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