Business
AM Best Affirms Credit Ratings of Intact Financial Corporation and Its Core Subsidiaries
AM Best has affirmed the Financial Strength Rating (FSR) of A+ (Superior) and the Long-Term Iss...
About this update from Intact Financial Corporation
[{"type":"text","content":"AM Best Affirms Credit Ratings of Intact Financial Corporation and Its Core Subsidiaries\n\n\n .bwalignc { text-align: center; list-style-position: inside }\n.bwlistdisc { list-style-type: disc }\n \n\n\n\n\n AM Best\n \n has affirmed the Financial Strength Rating (FSR) of A+ (Superior) and the Long-Term Issuer Credit Ratings (Long-Term ICRs) of “aa-” (Superior) of Intact Insurance Company, the lead company of Intact Financial Corporation (IFC) [TSX: IFC], as well as the core insurance subsidiaries of IFC. Concurrently, AM Best has affirmed the Long-Term ICR of “a-” (Excellent) and the Long-Term Issue Credit Ratings (Long-Term IRs) of IFC, the parent holding company. In addition, AM Best has affirmed the Long-Term ICR of “a-” (Excellent) of Intact U.S. Holdings Inc. (Delaware), an intermediate holding company of IFC. The outlook of these Credit Ratings (ratings) is stable. All companies are domiciled in Ontario, Canada, unless otherwise specified. (Please see below for a complete listing of the FSRs, Long-Term ICRs and Long-Term IRs for the core members of Intact Financial Corporation.)\n \n\n The ratings reflect IFC’s consolidated balance sheet strength, which AM Best assesses as very strong, as well as its strong operating performance, favorable business profile and appropriate enterprise risk management (ERM).\n \n\n IFC’s balance sheet strength assessment is supported by its very strong risk-adjusted capitalization, as measured by Best’s Capital Adequacy Ratio (BCAR), long-term capital growth and historically favorable reserve development trends. Furthermore, the balance sheet strength assessment reflects IFC’s favorable liquidity profile which is supported by a prudent investment approach. Surplus accumulation over the long term has been driven by capital raises (both debt and stock offerings) in support of acquisitions, as well as profitable operating earnings in more recent years. IFC’s financial leverage ratios remain within AM Best guidelines and have improved through first-quarter 2025, driven by favorable net earnings and re-payment of debt through 2024. Overall, IFC benefits from financial flexibility through access to Canadian and U.S. capital markets.\n \n\n AM Best views IFC’s operating performance as strong driven by consistently ...