AM Best Affirms Credit Ratings of New York Life Insurance Company and Its Subsidiaries
September 20, 2022 by AM Best
OLDWICK, N.J.–(BUSINESS WIRE)–AM Best has affirmed the Financial Strength Rating (FSR) of A++ (Superior) and the Long-Term Issuer Credit Ratings (Long-Term ICRs) of “aaa” (Exceptional) of New York Life Insurance Company, New York Life Insurance and Annuity Corporation (NYLIAC), Life Insurance Company of North America (LINA) and New York Life Group Insurance Company of NY (NYLGICNY). All companies are referred to as New York Life and headquartered in New York, NY. AM Best also has affirmed the Long-Term ICRs of “aaa” (Exceptional) of New York Life Global Funding and New York Life Funding. Lastly, AM Best has affirmed the Long-Term Issue Credit Ratings (Long-Term IRs) on the funding agreement-backed securities programs, the outstanding notes issued therein and the Long-Term IRs on the existing surplus notes of New York Life Insurance Company. The outlook of the Credit Ratings (rating) is stable. (See below for a detailed listing of the Long- and Short-Term IRs)
The ratings reflect New York Life’s balance sheet strength, which AM Best assesses as strongest, as well as its very strong operating performance, very favorable business profile and very strong enterprise risk management.
The rating affirmations reflect the company’s ability to maintain capital levels, financial flexibility and earnings during a period of volatile financial markets. The company continues to exhibit the ability to absorb, through its balance sheet, continued financial market volatility and credit impairments while its capital adequacy, as measured by Best’s Capital Adequacy Ratio (BCAR), remains strong. The group has a well-diversified asset portfolio, which has provided protection from credit market impairments through the pandemic and to date.
The group’s very strong operating performance is derived from a diverse revenue base, which has improved as a result of the Cigna Group Insurance acquisition, providing ample additional protection from financial market volatility. An expanding and diverse profitable book of annuities, life insurance and employee benefits provides support for New York Life’s favorable business profile.
The following Long-Term IRs have been affirmed with stable outlooks:
New York Life Funding: “aaa” (Exceptional) program rating
New York Life Global Funding – “aaa” (Exceptional) program rating
— “aaa” (Exceptional) on all outstanding notes issued under the program
New York Life Insurance Company—
— “aa” (Superior) on $1 billion 5.875% surplus notes, due May 2033
— “aa” (Superior) on $1 billion 6.75% surplus notes, due November 2039
— “aa” (Superior) on $1.25 billion 3.75% surplus notes, due May 2050
— “aa” (Superior) on $1 billion 4.45% surplus notes, due May 2069
The following Short-Term IR has been affirmed:
New York Life Capital Corporation —
— AMB-1+ (Strongest) on the commercial paper program
This press release relates to Credit Ratings that have been published on AM Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best’s Credit Ratings. For information on the proper use of Best’s Credit Ratings, Best’s Performance Assessments, Best’s Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best’s Ratings & Assessments.
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.
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