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A.M. Best Comments on Credit Ratings of JRG Reinsurance Company, Ltd. and Its Affiliates

JRVR

A.M. Best Comments on Credit Ratings of JRG Reinsurance Company, Ltd. and Its Affiliates

A.M. Best has commented that the Long-Term Issuer Credit Rating (Long-Term ICR) of “bbb” of James River Group Holdings, Ltd. (JRG Holdings) (NASDAQ:JRVR) and the Financial Strength Rating of A (Excellent) and the Long-Term ICR of “a” of JRG Reinsurance Company, Ltd. (JRG Re) (Pembroke, Bermuda) and its U.S.–based affiliates remain unchanged following the announcement of the organization’s actions regarding their internal reinsurance structure. The outlook of these Credit Ratings (ratings) remains stable.

On Feb. 22, 2018, JRG Holdings’ management team announced that effective Jan. 1, 2018, the company will restructure its internal quota share to be ceded to a newly formed related counterparty, Carolina Re Ltd. Previously, JRG Re was the recipient of the cession.

A.M. Best’s comment takes into consideration that these steps are in response to the introduction of the Tax Cuts and Jobs Act of 2017. The comment also takes into consideration that while JRG Re will no longer act as the internal reinsurer, it will continue to write third-party casualty reinsurance.

A.M. Best will continue to monitor the progress of the modifications of the internal reinsurance programs, and evaluate any developments and implications for impact on the ratings.

The U.S. affiliates’ include:

  • James River Insurance Company
  • James River Casualty Company
  • Falls Lake National Insurance Company
  • Stonewood Insurance Company
  • Falls Lake General Insurance Company
  • Falls Lake Fire and Casualty Company

This press release relates to Credit Ratings that have been published on A.M. 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 A.M. Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Understanding Best’s Credit Ratings . For information on the proper media use of Best’s Credit Ratings and A.M. Best press releases, please view Guide for Media - Proper Use of Best’s Credit Ratings and A.M. Best Rating Action Press Releases .

A.M. Best is the world’s oldest and most authoritative insurance rating and information source. For more information, visit www.ambest.com.

Copyright © 2018 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.

A.M. Best
Robert Raber, +1-908-439-2200, ext. 5696
Associate Director
robert.raber@ambest.com
or
Greg Williams, +1-908-439-2200, ext. 5815
Senior Director
greg.williams@ambest.com
or
Christopher Sharkey, +1-908-439-2200, ext. 5159
Manager, Public Relations
christopher.sharkey@ambest.com
or
Jim Peavy, +1-908-439-2200, ext. 5644
Director, Public Relations
james.peavy@ambest.com



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