Author: Farkas Laura

ATLANTA April 11 (BestWire) — A federal appeals court in Atlanta has upheld the right of a former managing director of Marsh & McLennan Cos. to get out of a noncompete agreement he signed while employed by the giant broker, ruling the agreement unenforceable. The 11th U.S. Circuit Court of Appeals decision is “significant” because… Continue reading Appeals Panel Holds Broker Marsh’s Noncompete Agreement Unenforceable

A.M. Best Co. has downgraded the financial strength rating to B++ (Very Good) from A- (Excellent) and the issuer credit rating to “bbb” from “a-” for the reinsurance subsidiaries of Inter-Ocean Holdings Limited (Inter-Ocean) (Bermuda). Additionally, A.M. Best has downgraded the issuer credit rating to “bb” from “bbb-” of Inter-Ocean. Subsequently, Inter-Ocean and its reinsurance… Continue reading A.M. Best Downgrades and Withdraws Ratings of Inter-Ocean and Its Subsidiaries

Standard & Poor’s Ratings Services announced that it has lowered its counterparty credit and financial strength ratings on Employers Reinsurance Corp. and affiliated insurance/reinsurance entities (collectively referred to as GE Insurance Solutions) to “A” from “A+” and removed them from CreditWatch.     S&P also said that it has lowered its counterparty credit rating on… Continue reading S&P Lowers GE Insurance Solutions Ratings; Off CreditWatch; CEO Comments

Effective immediately, AM Best has downgraded Workmen’s Auto Insurance Company from a B++ to a B(u), citing the company’s drop in surplus as the main reason for the downgrade. The company has filed a lawsuit against Guy Carpenter alleging failure to exercise reasonable care in performance of its duties; failure to effect appropriate documentation; breach… Continue reading Downgrade of Calif. Auto Company Results from Reinsurance Broker Error

OLDWICK, N.J. March 31 (BestWire) — A.M. Best Co. has downgraded the financial strength rating to B++ (Very Good) from A- (Excellent) and the issuer credit rating to “bbb” from “a-” of Employers Reassurance Corp. (ERAC) (Overland Park, KS). The ratings have been removed from under review and assigned a stable outlook. These rating actions… Continue reading A.M. Best Downgrades Ratings of Employers Reassurance Corporation; Removes From Under Review

South Carolina Insurance Co., part of the Columbia-based Seibels Bruce family, has been declared insolvent by state insurance regulators and will be liquidated. The company and its subsidiary, Consolidated American Insurance Co., will be closed by a court-appointed receiver called in to settle remaining claims and other obligations. The Department of Insurance has filed a… Continue reading S.C. Regulators Declare Two Insurance Cos. Insolvent

Maurice Greenberg is planning to step down as chief executive of American International Group Inc. amid board concern over a rising number of regulatory inquiries into the insurance company, The Wall Street Journal reported on Monday. At a board meeting on Sunday in New York, AIG’s directors worked to hammer out terms of 79-year-old Greenberg’s… Continue reading AIG Chief Greenberg to Step Down This Week

A.M. Best Co. has placed the financial strength rating of A- (Excellent) of TRANSGUARD INSURANCE COMPANY OF AMERICA (TRANSGUARD) (Westmont, Ill.) under review with negative implications. This action follows TRANSGUARD’s reporting significant adverse loss reserve development during 2004 and an earlier announcement from its parent company, SIRVA Inc., [NYSE: SIR] that it will not meet… Continue reading A.M. Best Places Rating of TRANSGUARD Under Review

A.M. Best Co. has downgraded the financial strength ratings of Royal & SunAlliance USA Insurance Pool (RSAUSA) and the Royal Surplus Lines Insurance Co. (Connecticut) to C++ (Marginal) from B (Fair). The surplus lines company is a wholly owned subsidiary of Royal Indemnity Co., a member of the pool. The rating outlook is negative. This… Continue reading A.M. Best Downgrades Ratings of Royal & SunAlliance USA Insurance Pool

A.M. Best Co. has placed the financial strength and debt ratings of the insurance and reinsurance subsidiaries of RenaissanceRe Holdings Ltd. (RenaissanceRe) [NYSE:RNR] (Bermuda) under review with negative implications. This rating action follows an announcement by RenaissanceRe that as a result of an ongoing review, the company will be restating its financial statements for 2001,… Continue reading A.M. Best Places Ratings of RenaissanceRe Under Review With Negative Implications