Moody’s Investors Service has withdrawn the A2 insurance financial strength rating of Validus Re, an indirect wholly owned subsidiary of American International Group (AIG). The outlook for the rating has also been withdrawn.
Validus Re is a Bermuda-based global provider of short-tail lines of reinsurance including property catastrophe, property pro rata and property per risk, as well as marine and energy, and other specialty lines. It operates from six offices internationally with “highly-rated capital and specialised local knowledge”, Moody’s said.
Moody's said it had decided to withdraw the rating for its own business reasons.
The rating action has no implication for the senior debt rating of Validus Holdings (Baa2 stable), which is guaranteed by AIG.
“For any affected securities or rated entities receiving direct credit support from the primary entity(ies) of this credit rating action, and whose ratings may change as a result of this credit rating action, the associated regulatory disclosures will be those of the guarantor entity,” Moody’s said. “Exceptions to this approach exist for the following disclosures, if applicable to jurisdiction: ancillary services, disclosure to rated entity, and disclosure from rated entity.”
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