Rembrandt Insurance retains ‘A’ financial strength rating from AM Best

AM Best has affirmed the financial strength rating of A and the long-term issuer credit rating of “a” of Bermuda-based Rembrandt Insurance Company, a captive re/insurer of Vitol Holding, a group engaged in the trading of energy-related products. The outlook of these ratings is stable.

According to AM Best the ratings reflect Rembrandt’s balance sheet strength, which it assesses as ‘very strong’, as well as its strong operating performance, limited business profile and appropriate enterprise risk management.

Rembrandt’s balance sheet strength is underpinned by risk-adjusted capitalisation at the strongest level, as measured by Best’s Capital Adequacy Ratio (BCAR). AM Best expects Rembrandt’s risk-adjusted capitalisation to remain comfortably at the strongest level, supported by low net underwriting leverage, excellent internal capital generation and a robust outward reinsurance programme, placed with a reinsurance panel of sound credit quality. In addition, the company has a conservative and highly liquid investment portfolio. Partly offsetting the balance sheet strength assessment is Rembrandt’s moderate reliance on reinsurance.

Rembrandt’s strong operating performance is demonstrated by its five-year (2020-2024) weighted average return on equity of 39.8%, which has been primarily driven by its excellent underwriting results, as evidenced by a five-year weighted average combined ratio (as calculated by AM Best) of 15.3% over the same period. In addition, the higher interest rate environment in recent years has resulted in good returns on the company’s conservative investment portfolio. To date, results in 2025 have remained solid and in line with AM Best’s expectations.

Rembrandt’s limited business profile assessment reflects its strategic importance to Vitol. The company is embedded within Vitol’s risk management framework; however, it covers only part of its parent’s insurance needs. Rembrandt has a concentrated insurance portfolio focused on the core operations of Vitol, with approximately 90% of its premiums derived from marine cargo and liability risks. Rembrandt’s written premium volumes fluctuate based on the value of crude oil, which has been elevated in recent years.

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