AM Best gives rating thumbs-up to Sura Re

Bermuda-based captive insurer Sura Re has had its financial strength rating of B++ affirmed by ratings agency AM Best, with a stable outlook.

Sura Re is the captive reinsurer of Colombia-based insurance group Suramericana and was established in Bermuda as a Class 3A insurer in 2015. It received approval from the regulator to operate as a Class C insurer in 2022.

Sura Re’s primary role is to participate in property business underwritten by its parents’ affiliates across Latin America, assisting the group achieve its strategic regional goals, AM Best said.

The ratings reflect Sura Re’s balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, limited business profile, and appropriate enterprise risk management.

In 2023, Sura Re’s capital requirements reflected higher premium risk as the company retained more risks under its strategy. AM Best anticipates an increase in capital demands due to greater capital deployment while maintaining its strongest level of risk-adjusted capitalisation.

Sura Re, as part of one of Latin America’s largest insurance groups, benefits from flexibility in managing growth and premium risk, which AM Best views as adequate for its current ratings.

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