HANNOVER, Germany, Oct. 23, 2003 (PRIMEZONE) --
Moody's Rating
- Is unsolicited and
- Solely based on publicly available information
The rating agency Moody's Investors Service, Inc. announced today that they have affirmed their insurance financial strength rating for Hannover Re of Baa1, but have revised the outlook from "negative" to "stable".
On this matter we would like to state that Moody's have been publishing an unsolicited insurance financial strength rating of Hannover Re since 1998, which is solely based on publicly available information. For this reason the financial strength assessment of Moody's differs significantly from perceptions of other rating agencies.
The two leading rating agencies for the worldwide insurance and reinsurance industry, Standard & Poor's and A.M. Best, have awarded Hannover Re a rating in their second-highest category (AA- "Very Strong" and A+ "Superior", respectively) over a period of more than ten years.
Throughout all these years the ratings awarded by these two agencies have been based on detailed information, which is the outcome of an interactive process. Hannover Re's Executive Board and its senior management grant both agencies an in-depth insight into the company's net assets, financial position, and results of operation; and usually even permits access to confidential information, such as business plans, strategic objectives and expectations regarding future developments, most notably the exceptionally high quality of the loss reserves and other provisions. Such inside knowledge, together with publicly available information, has formed the sound basis of Standard & Poor's and A.M. Best's evaluation of Hannover Re's financial strength, profitability and market position.
Hannover Re, with gross premiums of EUR 12.5 billion, is one of the five largest reinsurers in the world. It transacts all lines of property/casualty, life/health and financial/finite-risk reinsurance as well as program business. It maintains business relations with more than 2,000 insurance companies in over 100 countries. Its worldwide network consists of more than 100 subsidiaries, branch and representative offices in 19 countries. The rating agencies most relevant to the insurance industry have each awarded Hannover Re a rating in their second-highest category (Standard & Poor's AA- "Very Strong" and A.M. Best A+ "Superior").