AM Best upgrades credit ratings of Greenlight Capital Re and subsidiaries

AM Best has upgraded the Financial Strength Ratings of Greenlight Reinsurance, Ltd. (Cayman Islands) and Greenlight Reinsurance Ireland, DAC (Ireland) to A (Excellent) from A– (Excellent) and the Long-Term Issuer Credit Ratings to “a” (Excellent) from “a–” (Excellent).

Both companies are wholly owned subsidiaries of Greenlight Capital Re, Ltd. (Greenlight Re). AM Best also upgraded the Long-Term Issuer Credit Ratings of Greenlight Re to “bbb” (Good) from “bbb–” (Good). The outlooks of these Credit Ratings have been revised to stable from positive.

AM Best said the rating upgrades reflect Greenlight Re’s very strong balance sheet, adequate operating performance, neutral business profile, and appropriate enterprise risk management.

The ratings agency noted that Greenlight Re’s operating performance has steadily improved in recent years. In addition, investment results have stabilised and been accretive to net income, while underwriting results have become more profitable.

AM Best added that “return metrics continue to be more favorable than prior years and are reflective of the group’s strategic efforts.”

Greg Richardson, Chief Executive Officer of Greenlight Re, said, “We are proud to receive an upgraded ‘A’ rating from AM Best, reflecting the significant progress we’ve made in transforming our underwriting portfolio and strength of our long-term strategy.

“This recognition follows Greenlight Re’s record quarterly underwriting performance and reflects the excellence of our colleagues across our offices whose dedication made this achievement possible. With this momentum creating a meaningful tailwind, we are well positioned to further capitalise on market opportunities and deliver additional shareholder value.”