AM Best has removed from under review with developing implications and affirmed the Financial Strength Ratings of A- (Excellent) and the Long-Term Issuer Credit Ratings of “a-” (Excellent) of Accredited Specialty Insurance Company (Gilbert, AZ), Accredited Surety and Casualty Company, Inc. (Orlando, FL) and Accredited Insurance (Europe) Limited (Malta), collectively known as Accredited. The outlooks assigned to these Credit Ratings (ratings) are stable.
The ratings reflect Accredited’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 addition, AM Best has increased Accredited’s Financial Size Category to IX based on its consolidated insurance operations under Accredited Insurance Holdings, Inc.
The rating actions follow the completed acquisition of Accredited by funds managed by Onex Partners (Onex) from R&Q Investment Holdings on June 28, 2024. Accredited will now operate as an independent program management company providing insurance capacity in Europe, the United Kingdom and the United States. Accredited provides underwriting capacity to large managing general agents, connecting those entities with global reinsurance capital in exchange for a recurring fee. Onex confirmed that Accredited’s business strategy remains unchanged following the completed acquisition.
Accredited’s balance sheet strength is underpinned by its risk-adjusted capitalization, which is at the strongest level, as measured by Best’s Capital Adequacy Ratio (BCAR). AM Best expects that Accredited will maintain its strongest-level risk-adjusted capitalization, as measured by BCAR, while generating profitable operating results and surplus growth in the near term.
