We would love to hear from you. Click on the ‘Contact Us’ link to the right and choose your favorite way to reach-out!

wscdsdc

media/speaking contact

Jamie Johnson

business contact

Victoria Peterson

Contact Us

855.ask.wink

Close [x]
pattern

Industry News

Categories

  • Industry Articles (16,771)
  • Industry Conferences (3)
  • Industry Job Openings (3)
  • Negative Media (138)
  • Positive Media (73)
  • Sheryl's Articles (624)
  • Sheryl's Blogs (178)
  • Wink's Articles (242)
  • Wink's Blogs (225)
  • Wink's Press Releases (93)
  • Blog Archives

  • April 2021
  • March 2021
  • February 2021
  • January 2021
  • December 2020
  • November 2020
  • October 2020
  • September 2020
  • August 2020
  • July 2020
  • June 2020
  • May 2020
  • April 2020
  • March 2020
  • February 2020
  • January 2020
  • December 2019
  • November 2019
  • October 2019
  • September 2019
  • August 2019
  • July 2019
  • June 2019
  • May 2019
  • April 2019
  • March 2019
  • February 2019
  • January 2019
  • December 2018
  • November 2018
  • October 2018
  • September 2018
  • August 2018
  • July 2018
  • June 2018
  • May 2018
  • April 2018
  • March 2018
  • February 2018
  • January 2018
  • December 2017
  • November 2017
  • October 2017
  • September 2017
  • August 2017
  • July 2017
  • June 2017
  • May 2017
  • April 2017
  • March 2017
  • February 2017
  • January 2017
  • December 2016
  • November 2016
  • October 2016
  • September 2016
  • August 2016
  • July 2016
  • June 2016
  • May 2016
  • April 2016
  • March 2016
  • February 2016
  • January 2016
  • December 2015
  • November 2015
  • October 2015
  • September 2015
  • August 2015
  • July 2015
  • June 2015
  • May 2015
  • April 2015
  • March 2015
  • February 2015
  • January 2015
  • December 2014
  • November 2014
  • October 2014
  • September 2014
  • August 2014
  • July 2014
  • June 2014
  • May 2014
  • April 2014
  • March 2014
  • February 2014
  • January 2014
  • December 2013
  • November 2013
  • October 2013
  • September 2013
  • August 2013
  • July 2013
  • June 2013
  • May 2013
  • April 2013
  • March 2013
  • February 2013
  • January 2013
  • December 2012
  • November 2012
  • October 2012
  • September 2012
  • August 2012
  • July 2012
  • June 2012
  • May 2012
  • April 2012
  • March 2012
  • February 2012
  • January 2012
  • December 2011
  • November 2011
  • October 2011
  • September 2011
  • August 2011
  • July 2011
  • June 2011
  • May 2011
  • April 2011
  • March 2011
  • February 2011
  • January 2011
  • December 2010
  • November 2010
  • October 2010
  • September 2010
  • August 2010
  • July 2010
  • June 2010
  • May 2010
  • April 2010
  • March 2010
  • February 2010
  • January 2010
  • December 2009
  • November 2009
  • October 2009
  • August 2009
  • June 2009
  • May 2009
  • April 2009
  • March 2009
  • November 2008
  • May 2008
  • February 2008
  • August 2006
  • Best’s Special Report: U.S. Life/Health Sector Credit Rating Upgrades Outnumber Downgrades in 2020

    March 15, 2021 by AM Best

    OLDWICK, N.J.–(BUSINESS WIRE)–Despite the pandemic, the U.S. life/health industry saw positive Credit Rating action in 2020, with the number of downgrades and ratings put under review declining compared with the previous year, according to a new AM Best report.

    The Best’s Special Report, titled, “Life/Health Rating Upgrades Outnumber Downgrades in 2020,” states that rating upgrades remained essentially flat in 2020, with 28 ratings upgraded versus 10 downgrades for life/annuity (L/A) and health carriers in 2020, compared with 29 upgrades and 19 downgrades in 2019. The positive rating movement was driven primarily by improved levels of risk-adjusted capitalization for life/annuity and health carriers. The vast majority of rating actions in 2020 were affirmations, with the percentage of them increasing year over year. Upgrades were relatively consistent for both the L/A and health segments, however, downgrades were more concentrated in the L/A segment in 2020, while the life reinsurance segment had no rating movements.

    Compared to prior year there were nine rating units placed under review in 2020, compared with 24 in 2019, reflecting significant lower merger and acquisition activity as pandemic-related uncertainties shifted the L/A and health industries’ focus to operations through this period. L/A ratings activity generally reflected increased strategic value to parent companies, strong risk-adjusted capitalization and more robust enterprise risk management practices, while health ratings development generally reflected growth in capital and surplus over the past couple of years, supported by strong operating earnings across the major lines of business.

    In December 2020, AM Best maintained its negative market segment outlook on the L/A segment, mainly due to the impact of the COVID-19 pandemic. Interest rates, expected to be lower for longer, will impact credit spreads, and also likely lead to lower long-term interest rate assumptions, which in turn could lead to reserve increases or asset adequacy reserve charges. Furthermore, the current economic and business environment could lead to credit rating downgrades, followed by asset impairments. AM Best is keeping a stable outlook on the health segment for 2021, despite the widespread effect of COVID-19. Key factors are significantly higher-than-expected earnings in 2020, partially due to delays in medical elective and routine care, strong risk-adjusted capitalization and relatively modest cost of COVID-19 treatments for most individuals.

    To access the full copy of this special report, please visit http://www3.ambest.com/bestweek/purchase.asp?record_code=306632.

    AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.

    Copyright © 2021 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.

    Contacts

    Antonietta Iachetta
    Senior Financial Analyst

    +1 908 439 2200, ext. 5792
    antonietta.iachetta@ambest.com

    Frank Walko
    Senior Financial Analyst
    +1 908 439 2200, ext. 5072
    frank.walko@ambest.com

    Joseph Zazzera, MBA
    Director
    +1 908 439 2200, ext. 5797
    joseph.zazzera@ambest.com

    Christopher Sharkey
    Manager, Public Relations
    +1 908 439 2200, ext. 5159
    christopher.sharkey@ambest.com

    Jim Peavy
    Director, Communications
    +1 908 439 2200, ext. 5644
    james.peavy@ambest.com

    Originally Posted at AM Best on March 10, 2021 by AM Best.

    Categories: Industry Articles
    currency