A.M. Best Asia-Pacific has affirmed the financial strength and issuer credit rating of Bermuda captive Evergreen Reinsurance Company at A (excellent) and “a”, respectively.
Evergreen, the pure captive of a Taiwan-based international logistics and transportation conglomerate with a core business focus on marine and aviation, is considered stable.
According to A.M. Best the ratings reflect Evergreen’s strong risk-adjusted capitalisation, track record of favourable operating performance and prudent risk management. Positive investment and underwriting results over the past few years also contributed to the positive ratings.
Offsetting rating factors included the potential capital demand from the subsidiaries and its significant gross exposure to marine and aviation claims. Negative ratings actions could occur in the event of a continued adverse operating performance and/or a significant decline in its risk-adjusted capitalisation.