Hamilton receives positive outlook from AM Best

AM Best has revised the outlooks to positive from stable and affirmed the financial strength rating of A- (excellent) and the long-term issuer credit ratings of a- (excellent) of Hamilton Re (Bermuda) and Hamilton Insurance (Ireland), which are wholly owned subsidiaries of Hamilton Insurance Group, which is based in Pembroke, Bermuda.

The credit ratings reflect Hamilton Insurance Group’s balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, neutral business profile and appropriate enterprise risk management. The very strong balance sheet strength assessment is supported by Hamilton’s strongest level of risk-adjusted capitalisation, as measured by AM Best's capital adequacy ratio.

“Recent strategic shifts that have been executed by the company, including a transition toward a more diversified underwriting portfolio, have helped moderate the performance volatility that previously weighed on Hamilton’s balance sheet strength. However, Hamilton’s balance sheet strength assessment of very strong also reflects its relatively high-risk investment strategy on a portion of its invested assets, which is controlled by Two Sigma Investments, an SEC-registered investment adviser,” AM Best said.

The rating agency expects that Hamilton will maintain its improving trend of profitability and continue generating earnings that are accretive to the group’s balance sheet strength.

"We’re proud of this accomplishment and the recognition from AM Best," said Pina Albo, CEO of Hamilton. “Their endorsement is evidence that Hamilton is delivering on its strategy of building a global, diversified specialty insurance and reinsurance company.”

Hamilton Insurance Group is a Bermuda-headquartered company that underwrites specialty insurance and reinsurance risks on a global basis through its wholly owned subsidiaries.