Research Update: Mutual Insurer Britannia Ratings Lowered To 'A-' On Continued Poor Operating Performance; Outlook Stable

The Britannia Steam Ship Insurance Association Europe (Britannia or the club) is likely to report technical losses again this year, with investment returns expected to deliver a modest net income. Furthermore, we also now forecast that the club will not likely achieve breakeven technical results over the next two years, compared with our previous forecasts and expectations. We have therefore lowered our financial strength and issuer credit ratings on the club to 'A-'. The stable outlook indicates our expectation that Britannia will maintain capital adequacy above our 99.99% confidence level and that its technical performance is unlikely to return to breakeven over our 12-24 month outlook horizon. On Dec. 9, 2024, S&P Global Ratings lowered its long-term financial strength and

...To From Financial strength rating A-/Stable/-- A/Negative/-- Anchor* a- a Business risk Satisfactory Satisfactory IICRA Intermediate Intermediate Competitive position Satisfactory Satisfactory Financial risk Very Strong Very Strong Capital and earnings Excellent Excellent Risk exposure Moderately High Moderately High Funding structure Neutral Neutral Modifiers Governance Neutral Neutral Liquidity Exceptional Exceptional Comparable ratings analysis 0 0 Support 0 0 Group support 0 0 Government support 0 0...

Research Update