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AM Best assigns A+ rating to MS Transverse’s new E&S insurer
The rating reflects MS&AD’s strongest consolidated balance sheet strength and NSIC’s role as a newly formed excess and surplus entity for growth in the U.S. fronting market.
AM Best has assigned MS Transverse’s new excess and surplus entity, Newhall Specialty Insurance Company (NSIC), a Financial Strength Rating of A+ (Superior) and a Long-Term Issuer Credit Rating of “aa” (Superior), with a stable outlook. The insurer will operate within the MS Transverse brand.
MS Transverse Insurance Group is a property and casualty carrier and a subsidiary of Mitsui Sumitomo Insurance Group, itself part of MS&AD Insurance Group Holdings (MS&AD). AM Best said NSIC’s ratings are supported by MS&AD’s strongest consolidated balance sheet strength, strong operating performance, a favorable business profile, and appropriate enterprise risk management.
AM Best noted that NSIC is considered part of the MS&AD rating unit due to its strategic importance to the parent, as a newly formed E&S entity aimed at supporting further growth in the U.S. fronting market. The agency also said NSIC was included in an existing pooling agreement and covered by a parental guarantee alongside MS Transverse’s other U.S. affiliates.
Last year, in an interview with Reinsurance News, John Fitzgerald, President of MS Transverse, said the company was looking to broaden its horizons into specialty classes.