S&P Global Ratings revised its outlook on Endurance Specialty Holdings Ltd. and its operating companies to positive from stable after Japan-based Sompo Holdings Inc. completed its acquisition of the Bermuda-based re/insurer.
S&P said the outlook revision reflects its view that Endurance will become a key part of Sompo's international strategy. The positive outlook is based on S&P's view that it could raise Endurance's ratings within the next 24 months if it is successfully integrated within Sompo and generates sustainable and strong earnings in both insurance and reinsurance.
The rating agency affirmed its BBB+ long-term counterparty credit rating on Endurance and its A long-term counterparty credit and financial strength ratings of Endurance's operating subsidiaries American Agri-Business Insurance Co., Endurance Worldwide Insurance Ltd., Endurance Specialty Insurance Ltd., Endurance Risk Solutions Assurance Co., Endurance Assurance Corp., Endurance American Specialty Insurance Co. and Endurance American Insurance Co.
S&P said the affirmation is based on its expectation that Endurance will maintain its strong capital levels under Sompo.
S&P Global Ratings and S&P Global Market Intelligence are owned by S&P Global Inc.