AM Best assigns stable ratings to Fortegra Belgium Insurance Company

AM Best, the credit rating agency, has assigned a Financial Strength Rating of A- (Excellent) and a Long-Term Issuer Credit Rating of “a-” (Excellent) to Fortegra Belgium Insurance Company NV (FBIC), based in Belgium.

The outlook for both ratings is stable, reflecting FBIC’s strong balance sheet, as assessed by AM Best, and its adequate operating performance.

While the company’s business profile is considered limited, its risk management strategies are viewed as appropriate.

AM Best has also considered the potential financial support from FBIC’s parent company, The Fortegra Group, Inc. (Fortegra) in the event of need, providing a rating lift. Additionally, FBIC benefits from reinsurance support from its parent group.

FBIC, established in 2024, is a newly incorporated subsidiary of Fortegra, aiming to offer specialty property and casualty (P/C) insurance in various European markets. The company specialises in program underwriting for both personal and commercial P/C lines.

FBIC’s initial capital position is strong, with an initial capital of EUR 15 million. Its risk-adjusted capital position, as indicated by Best’s Capital Adequacy Ratio (BCAR), is rated at the strongest level. Over the next three years, AM Best expects some slight weakening in risk-adjusted capitalisation as the company takes on additional risk. However, AM Best believes this will be mitigated by further capital injections from Fortegra during the company’s start-up phase.

The company anticipates modest but positive technical results during its initial years, supported by the underwriting expertise of both local and group teams. The overall profitability will also benefit from stable investment income. AM Best has assessed FBIC’s prospective operating performance as adequate.

FBIC’s business profile is currently limited due to its heavy reliance on outsourcing partners, including managing general agents. To address this risk, the company plans to carefully manage and monitor its business relationships moving forward.

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