JOHNSTON, R.I., USA—Commercial and industrial property insurer FM Global has received a ‘AA’ (Very Strong) financial strength rating affirmation from Fitch with a “Stable” outlook. The rating also applies to the company’s affiliates, including FM Insurance Company Limited and Affiliated FM Insurance Company.
Acknowledging FM Global’s strong financial and operating performance, for the first eight months of 2014, the insurance ratings organization indicated “the ratings continue to reflect FM Global's strong capital and long-term underwriting profitability, competitive advantages derived from the company's engineering expertise and global presence in specialty commercial property insurance markets, as well as benefits drawn from the company's mutual company status.”
Fitch added “the company’s long-term operating performance continues to be strong and supportive of the current rating level.” Additionally, the group said it “believes that FM Global's favorable long-term underwriting performance is due in large part to the company's ability to incorporate engineering expertise into the risk selection and underwriting processes.” The rating agency also said it “views the company's engineering capabilities and loss prevention services as key advantages that are difficult for competitors to replicate, and believes this expertise will result in future underwriting results that are consistently better than peers.”
Established in 1835, FM Global is a US$5.6 billion mutual insurance company whose capital, scientific research capability and engineering expertise are solely dedicated to property risk management. Its client-owners, who share the belief that the majority of property loss is preventable, represent many of the world’s largest organizations, including one of every three FORTUNE 1000 companies. They work with FM Global to better understand the hazards that can impact their business continuity in order to make cost-effective risk management decisions combining property loss prevention with insurance protection. FM Global also is rated A+ (Superior) by A.M. Best.