A.M. Best Co. has placed the financial strength rating of B++ (Good) and issuer credit rating of “bbb” of Jamaica International Insurance Company Limited (JIIC) (Jamaica) under review with negative implications.
The under review status reflects A.M. Best’s concern with the uncertainty pertaining to the recently announced National Debt Exchange “NDX” and its effect on JIIC, its parent company, GraceKennedy Limited (GKL), and the Jamaican financial markets. GKL is a business conglomerate incorporated in Jamaica and diversified in the areas of food processing and distribution, banking and finance, as well as insurance and remittance services.
The ratings will remain under review pending further discussions with JIIC management regarding the impact of the NDX on the company’s operations, its parent and the Jamaican macroeconomic environment.
The methodology used in determining these ratings is Best’s Credit Rating Methodology, which provides a comprehensive explanation of A.M. Best’s rating process and contains the different rating criteria employed in the rating process. Key criteria utilized include: “Risk Management and the Rating Process for Insurance Companies”; “Understanding Universal BCAR”; “Catastrophe Analysis in A.M. Best Ratings”; “Evaluating Non-Insurance Ultimate Parents”; and “Evaluating Country Risk.” Best’s Credit Rating Methodology can be found at www.ambest.com/ratings/methodology.Founded in 1899, A.M. Best Company is the world’s oldest and most authoritative insurance rating and information source. For more information, visit www.ambest.com. Copyright © 2013 by A.M. Best Company, Inc. ALL RIGHTS RESERVED.