Fitch Ratings has upgraded ACE and its subsidiaries by one notch, from ‘A’ to ‘A+’, citing continued strong operating performance, a strong balance sheet and financial flexibility with moderate leverage.
According to the ratings agency: “all of Fitch’s prior upgrade rating triggers have been met and surpassed in the current year and on a run-rate basis. Fitch expects ACE to maintain operations at this higher level going forward”.
Key rate triggers for another upgrade include very strong operating performance with a combined ratio consistently lower than 85 percent (their current combined ratio has been under 100 percent for 10 years), material stockholders’ equity growth, and maintenance of a track record of successful acquisition execution while managing financial leverage below 20 percent and run-rate leverage at/or under 15 percent.
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