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Hannover Life Re (UK)'s financial strength confirmed by rating agencies Standard & Poor's and A.M. Best

Rating agency Standard & Poor’s have assigned Hannover Life Re (UK) (HLR UK) a financial strength rating of AA- (Very Strong) with a stable outlook.  A.M. Best has also upgraded Hannover Life Re (UK)’s financial strength rating to A (Excellent) with a positive outlook.

According to Standard & Poor’s the core status of HLR UK is “derived from their central role within the Hannover Re group’s life and health division with a mandate to exploit local expertise know-how and customer proximity by operating in core business lines which support the group maintaining its competitive strength as one of the world’s leading reinsurance companies.” 

In A.M. Best’s opinion, the upgraded ratings reflect “HLR UK's stable business profile, stable financial performance and strong risk-adjusted capitalisation which is very strong and is likely to remain stable.  This is supported by its historical profitability, value of its in-force business and conservative investment portfolio, which does not include derivatives or structured investments.” A.M. Best considers HLR UK's investment strategy to be conservative, underpinned by high quality fixed interest securities that are typically held to maturity as the company's funds are growing.

The rating agency also points to how HLR UK’s capital position benefits from the capital support received in previous years from its parent and is now positioned as an important subsidiary of the Hannover Re Group.

David Brand, Managing Director, comments; “these are great ratings for us particularly in these turbulent times, providing our clients with an extremely valuable and positive message reflecting our long term security.”

The original wordings of the A.M. Best and Standard & Poor’s news releases are available on their websites at; www.ambest.com or www.standardandpoors.com