April 5, 2012 by Canadian Underwriter
A.M. Best has affirmed Intact Insurance Group’s financial strength rating of ‘A+’ after its acquisition of AXA Canada.
The ratings agency announced it has removed from under review with negative implications and affirmed the financial strength ratings (FSR) of A+ (Superior) and issuer credit ratings (ICR) of “aa-” of Intact Insurance Group.
Concurrently, A.M. Best has removed from under review with developing implications and upgraded the FSR to A+ (Superior) from A (Excellent) and the ICR to “aa-” from “a+” of newly added Intact Group members, AXA Assurances inc. (Quebec), AXA Insurance (Canada) (Ontario) and AXA Pacific Insurance Company (Toronto).
“The ratings reflect the Intact group’s superior risk-adjusted capitalization, leading market position within the Canadian property/casualty insurance industry, improved financial leverage position of IFC since closing on the purchase of the AXA Canada Group of companies, and the continued success with the integration of AXA’s approximately $2.0 billion in direct premiums,” A.M. Best noted in a statement.
AXA General Insurance, now fully integrated into Intact Financial Corporation’s operations and strategic plan, is scheduled to merge with Novex (a member of Intact Insurance Group) on May 1, 2012, pending OSFI approval, A.M. Best has noted.