Global Multiline Insurance Group Zurich Insurance Co. Ltd.'s Junior Subordinated Notes Rated 'A'

FRANKFURT (S&P Global Ratings) July 14, 2016--S&P Global Ratings today assigned its 'A' long-term issue rating to the U.S. dollar-denominated junior subordinated notes issued by Switzerland-based global multiline insurance group Zurich Insurance Co. Ltd. (ZIC; AA-/Stable/A-1+) under its $18 billion euro medium-term note program. Under our methodology for rating junior subordinated debt issues, we rate the notes two notches below our 'AA-' long-term counterparty credit rating on the issuer, ZIC. The rating is based on our understanding that the holders of these notes will be subordinated to ZIC's senior creditors, and that ZIC has the option of deferring interest if, during the previous six-month period: No dividends have been declared or paid by the ultimate parent Zurich Insurance Group; and

...FRANKFURT (S&P Global Ratings) July 14, 2016--S&P Global Ratings today assigned its 'A' long-term issue rating to the U.S. dollar-denominated junior subordinated notes issued by Switzerland-based global multiline insurance group Zurich Insurance Co. Ltd. (ZIC; ##-/Stable/A-1+) under its $18 billion euro medium-term note program. Under our methodology for rating junior subordinated debt issues, we rate the notes two notches below our '##-' long-term counterparty credit rating on the issuer, ZIC. The rating is based on our understanding that the holders of these notes will be subordinated to ZIC's senior creditors, and that ZIC has the option of deferring interest if, during the previous six-month period: No dividends have been declared or paid by the ultimate parent Zurich Insurance + Group; and No other payments have been made on securities issued or guaranteed by ZIC that + rank junior or pari passu with the notes, or by Zurich Insurance Group. Furthermore, we understand that interest...

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