The ratings on Germany-based Gothaer Allgemeine Versicherung AG, Gothaer Lebensversicherung AG (GL), and Gothaer Krankenversicherung AG reflect Standard&Poor's Ratings Services' view of these companies as core subsidiaries of the Gothaer Insurance Group (Gothaer). Our assessment of the group is based on these companies' aggregate business and financial profiles. The ratings reflect the group's strong competitive position, due to a well-diversified portfolio, which provides a competitive advantage in our view. In addition, the group's management is strongly committed to growth of profitable lines of business, and strong non-life underwriting performance. We consider these strengths to be partly offset by Gothaer's relatively high exposure to credit risk and high asset-liability management (ALM) risk in the life insurance inforce book (back
