R&Q's Accredited recognised as independent ratings unit

26th Jun 2023 10:16

(Sharecast News) - R&Q Insurance Holdings announced on Monday that AM Best had recognised its programme management subsidiary 'Accredited' as an independent ratings unit, distinct from R&Q.

The AIM-traded firm said AM Best maintained financial strength ratings of A- (Excellent) for Accredited Specialty Insurance Company (ASI), Accredited Surety and Casualty Company (ASC), and Accredited Insurance Europe, collectively known as Accredited.

It said that by being recognised as a standalone entity, Accredited was well-positioned to demonstrate its financial stability and attract potential buyers.

The company added that it had already received the necessary approvals to function as a separate holding company within the R&Q Group, which was currently in the process of potentially selling Accredited, with several parties reportedly showing interest.

AM Best's assessment of Accredited's balance sheet strength as 'very strong' further validated its financial standing.

"Since announcing our strategic plan to separate Accredited and R&Q Legacy we have moved at pace to realise this objective," said chief executive officer William Spiegel.

"Securing an independent rating for Accredited is a critical milestone, underpinning its exciting prospects as a standalone business."

Spiegel noted that as R&Q recently announced, Accredited enjoyed an "excellent start" to 2023 with gross written premiums for the 12 months ended 31 March of around $2bn.

"This independent AM Best rating will give the team, and their partners in the market, continued confidence as we build on Accredited's position as a leading global independent hybrid carrier."

At 0846 BST, shares in R&Q Insurance Holdings were down 1.04% at 47.5p.

Reporting by Josh White for Sharecast.com.