A.M. Best and Standard & Poor’s affirm Delaware Life Insurance company ratings
Waltham, MA (July 17, 2017)—Insurer ratings services A.M. Best and Standard & Poor’s have affirmed their financial strength ratings for Delaware Life Insurance Company and Delaware Life Insurance Company of New York (collectively, “Delaware Life”).
- A.M. Best affirmed its Delaware Life financial strength rating of “A- (Excellent)” and issuer credit rating of “a- (Excellent).” The outlook for all ratings is “Stable.” A.M. Best has maintained the “A-” rating since October 2013 and increased its outlook to “Stable” in November 2014.1
- Standard & Poor’s affirmed a financial strength rating of “BBB+ (Stable),” which it first issued to Delaware Life in April 2016.2
The A.M. Best report cited “Delaware Life’s strong level of risk-adjusted capitalization, generally positive operating earnings trends, improving business profile and the strides it has made over the past two years to become a writer of fixed indexed annuity products, expanding its distribution channels and managing its large acquired blocks of variable annuities, traditional fixed annuities and life insurance.”
In addition, the ratings agency report said, “The group’s business profile is improving, as it shifts ... to marketing multi-year guaranteed annuities and fixed indexed annuity products. The ratings recognize an effective enterprise risk management program...”
The complete text of A.M. Best’s release may be found here.
Standard & Poor’s
Standard & Poor’s said its “Stable” financial strength rating for Delaware Life is based on:
- Very strong capital and earnings expected to be maintained
- Moderate risk position due to significant variable annuity book
- Improved net income generation expected in 2017 and 2018
- Adequate financial flexibility
The “Stable” outlook, the agency said, reflects its expectation that “Delaware Life will maintain very strong capital and earnings and adequate enterprise risk management. We expect the company to ... continue to demonstrate that it has not taken any undue credit or asset-liability management risk with its investment portfolio; and maintain liquidity that supports the ratings.”
The complete text of Standard & Poor’s release may be found here.
About Delaware Life Insurance Company
Delaware Life, through its insurance subsidiaries, is a leading provider of annuity and life insurance products in the United States, managing approximately $38 billion of in-force annuity and life insurance policies as of March 31, 2017. The Company was established in August 2013, in connection with the purchase by Delaware Life Holdings, LLC of the domestic U.S. annuity business and certain individual life and corporate markets insurance businesses of Sun Life Financial Inc.
Delaware Life Insurance Company is authorized to transact business in all states except New York, as well as in the District of Columbia, Puerto Rico and the U.S. Virgin Islands. Delaware Life Insurance Company of New York is authorized to transact business in New York and Rhode Island. Both companies are members of the Delaware Life group of companies. Each company is responsible for its own financial condition and contractual obligations.
1. A.M. Best A- (Excellent) is 4th out of 13 possible ratings.
2. Standard & Poor’s BBB+ (Stable) is 8th out of 21 possible ratings.
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