4th Feb 2009 07:00
OMEGA INSURANCE HOLDINGS LIMITED
A.M. Best Reaffirms Ratings of Omega US Insurance Inc
Omega Insurance Holdings Limited ('Omega'), the international insurance and reinsurance group based in Bermuda, announces that A.M. Best has reaffirmed the financial strength rating of Omega US Insurance Inc, its US based subsidiary.
The rating of Omega US is reaffirmed at 'A -' (Excellent) and issuer credit rating of "a-". The outlook for both ratings is stable.
A.M. Best commented that the ratings reflect Omega US' conservative business plan, experienced management team and the benefits of having a strong balance sheet that is unencumbered by prior year reserve liabilities. A.M. Best also recognised the successful background of the management team and the well established relationships management has with the existing managing general agent network.
Enquiries:
Omega Insurance Holdings Limited +1 441 294 6610
Richard Tolliday, CEO
Threadneedle Communications +44 (0)20 7653 9848
John Coles
Notes to Editors
Omega became the holding company of the Omega group of companies (the 'Omega Group') on 9 November 2006 when the scheme of arrangement of Omega Underwriting Holdings PLC (the Omega Group's previous holding company and now wholly-owned by Omega) ('OUH') became effective. On the same date the common shares of Omega were admitted to trading on AIM, the admission of OUH's shares to trading on AIM was cancelled and OUH was re-registered as a private limited company.
The Omega Group, through its wholly owned subsidiary, Omega Underwriting Agents Limited, acts as a Lloyd's managing agent for Syndicate 958 and in February 2006 established a new insurance and reinsurance business, Omega Specialty Insurance Company Limited ('Omega Specialty'), based in Bermuda. In September 2006 Omega incorporated a new surplus lines insurer, Omega US Insurance, Inc. ('Omega US Insurance'), in Delaware which is held under a Delaware incorporated intermediate holding company Omega US Holdings, Inc.
• Syndicate 958
Syndicate 958's capacity for the 2009 year of account is £249 million. The Syndicate has made an underwriting profit in every closed year of account since its inception in the 1980 year of account. The Syndicate has focused predominantly on short-tail property insurance and reinsurance, insuring small to medium sized insureds and reinsuring smaller insurance companies.
On 27 May 2008, the A.M. Best Company, Inc. reaffirmed the Syndicate's Financial Strength Rating
of 'A' (Excellent) and an Issuer Credit Rating of 'a+' (Excellent).
• Omega Specialty
Omega Specialty received its license from the Bermuda Monetary Authority in February 2006 as a Class 3 insurer and was capitalised at US$172 million. Since then, Omega Specialty's premium income has been predominantly derived from its reinsurances of Syndicate 958 and the Omega Group's Lloyd's corporate member, Omega Dedicated, together with its increasing book of third party reinsurances where it seeks to underwrite business of a similar type and composition to be complementary to that underwritten by Syndicate 958.
On 27 May 2008, the A.M. Best Company, Inc. reaffirmed Omega Specialty's Financial Strength
Rating of 'A-' (Excellent).
• Omega US Insurance
Omega US Insurance is an insurance company licensed in the state of Delaware and underwrites on a surplus lines basis in other US States. Omega US Insurance is currently eligible to write surplus lines business in 41 US jurisdictions and will underwrite in all other states once it has been granted the requisite eligibility in each US State. It was capitalised at US$50 million from the net proceeds of a share placing by OUH in October 2006.
On 3 December 2007, Omega US Insurance received a Financial Strength Rating from A.M. Best Company, Inc. of 'A-' (Excellent). The rating was reaffirmed on 3 February 2009.
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