The loss of an exclusive distribution contract with Commonwealth Bank of Australia (CBA) could pressure the competitive position of Helia Insurance Pty Ltd. The insurer's higher rate of run-off relative to new business has improved its capital adequacy to comfortably above the 99.95% confidence level under our capital model. We therefore revised upward our capital and earnings assessment and the financial risk profile of Helia to very strong from strong. We revised our rating outlook on Helia to negative from stable and affirmed our 'A' long-term financial strength and issuer credit ratings. At the same time, we affirmed our 'BBB+' long-term issue rating on the Australian insurer's subordinated debt. The negative outlook reflects our view that Helia's market share and
