The ratings on Germany-based Gothaer Allgemeine Versicherung AG (GA), Gothaer Lebensversicherung AG (GL), and Gothaer Krankenversicherung AG (GK) reflect the core status of these companies to the strategy of the Gothaer group (Gothaer), due to their close integration in terms of operational management and their significant contributions to the group's overall competitive position and financial strength. The ratings also reflect management's continued strengthening of enterprise risk management (ERM), its strong commitment to focus growth on profitable lines of business, and the group's strong capitalization. These strengths are partly offset, however, by Gothaer's limited organic growth potential and the sensitivity of its health insurance business to the current structural transformation of the market. Since the beginning of the decade, management has
