Moody’s Ratings announces completion of a periodic review of ratings of Barents Re

London, August 7, 2024

Moody’s Ratings (Moody’s) has completed a periodic review of the ratings of Barents Re Reinsurance Company, Inc. and other ratings that are associated with this issuer.

The review was conducted through a rating committee held on 5 August 2024 in which we reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), and recent developments.

This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Please see the Issuer page on https://ratings.moodys.com for the most updated credit rating action information and rating history.

Barents Re Reinsurance Company, Inc’s (Barents Re) A3 insurance financial strength rating is underpinned by the company’s strong financial profile including: (1) strong capitalisation and minimal net exposure to natural catastrophe risk; (2) good asset quality with a very conservative investment portfolio; and (3) a consistently good performance track record. These strengths are tempered by: (1) the group’s modest scale and reliance of retrocession capacity; (2) limited product diversification with a focus on products which Moody’s views as more risky than standard commercial policies where the law of large numbers is more applicable; and (3) unproven access to external capital markets. The outlook on Barents Re is stable.

This document summarizes our view as of the publication date and will not be updated until the next periodic review announcement, which will incorporate material changes in credit circumstances (if any) during the intervening period.

The principal methodology used for this review was Reinsurers published in April 2024. Please see the Rating Methodologies page on https://ratings.moodys.com for a copy of this methodology.

This announcement applies only to EU rated, UK rated, EU endorsed and UK endorsed ratings. Non-EU rated, non-UK rated, non-EU endorsed and non-UK endorsed ratings may be referenced herein to the extent necessary, if they are part of the same organization list.