May 16, 2023, Nevis, St. Kitts and Nevis – Northernlight Reinsurance Group Inc. (formerly
Northernlight Insurance Company Inc), an international reinsurance company based in Nevis,
St Kitts and Nevis, announced their Financial Strength Rating of AA– with Stable Outlook for
the LATIN AMERICA REGION was reaffirmed on May 12, 2023 by the rating agency, Pacific
Credit Rating (PCR). for the period ending December 31, 2022. The rating was based on
Northernlight’s high profitability, strong capitalization and liquidity, and experienced
management team.
Per PCR: “The rating is based on the experience of the reinsurer in the international market,
showing a high concentration in the lines of construction guarantees and Other Lines (specie,
maritime and transport insurance), resulting in an increase in income from written premiums
and generating adequate levels of profitability, as well as comfortable levels of liquidity and
adequate levels of solvency based on the company’s business model”
Northernlight Re (trade name for Northernlight Reinsurance Group) began operations in
February of 2015 and has subsequently received, for the periods ending December 31, 2021,
June 30, 2022 and December 31, 2022, positive ratings in the AA Rating category with Stable
Outlook. PCR provides the following rating categories for insurance companies: AAA (the
highest rating category), AA, A, BBB, BB, B, C, D, E (the lowest).
The AA rating category corresponds to those entities judged to have a very high capacity to
pay their obligations in the agreed terms and timeframes, and who would not likely be
affected strongly by changes in the entity, industry, or economy. Their safety factors are
strong while the risk is modest. A rating can be supplemented by means of a “+” sign or a “–”
sign, improving or somewhat lessening a rating within a particular rating category.
NLRe is a private company with operations in more than thirty countries and has senior
executives experienced in insurance, reinsurance, bonds, and capital markets. It specializes
primarily in treaty reinsurance, specialty facility reinsurance, and facultative reinsurance
produced from six business areas: Yacht Reinsurance, Specialty Lines, Surety Reinsurance,
French Construction Guarantees, Facultative Property, Marine, Cargo, and Aviation Risk and
reinsurance of specialized underwriting Facilities.
Pacific Credit Rating is one of the leading and most respected rating agencies in Latin
America, operating in 11 countries and boasting more than 500 clients from 5 continents.
Currently, PCR has offices in Bolivia, Ecuador, Perú, El Salvador, Costa Rica, Panamá,
Guatemala, México, Nicaragua, Honduras, and the Dominican Republic.
