Fitch Upgrades SiriusPoint’s Outlook To Positive
Fitch Ratings has affirmed SiriusPoint’s ratings and upgraded its Outlook to Positive, citing strong underwriting and financial performance.
A spokesperson said, “Fitch Ratings [Fitch] has today announced that it has affirmed the ratings of SiriusPoint Ltd. [SiriusPoint or the Company], including its Long-Term Issuer Default Rating at ‘BBB’, its senior debt rating at ‘BBB-‘ and its Insurer Financial Strength [IFS] rating at ‘A-‘ [Strong] of SiriusPoint’s subsidiaries. It has also revised the Company’s Outlook to Positive from Stable.
“The Positive Outlook reflects significant underwriting performance improvement in 2024 and 2023 as a result of repositioning the [re]insurance portfolio and exiting non-core lines in order to improve profitability and reduce overall volatility.
Key drivers of the ratings include the completed transaction for the full repurchase of all outstanding shares and warrants from CM Bermuda Limited, as well as solid underwriting results in both 2024 and 2023. Fitch said it “anticipates the favourable underwriting results to continue while the company expects to grow its business, particularly in primary insurance.
“Fitch also recognizes SiriusPoint’s strong financial performance of $184m for net income 2024, while citing its “strong operating income from underwriting profits, increased investment income and a gain of $96m on the deconsolidation of an MGA.”
SiriusPoint CEO, Scott Egan said, “Fitch Ratings’ decision to improve SiriusPoint’s Outlook to Positive follows nine consecutive quarters of strong operating performance.
“The outlook revision validates the measurable progress we have made in repositioning our business, building out a successful underwriting platform, and growing a track record of performance, while also strengthening and simplifying our capital structure. This decision is a reflection of the contribution and hard work of our global team. We look forward to continuing our momentum towards additional favourable outcomes for the Company and its stakeholders.”
