Solid operating performance. Strong competitive position.
On July 2, 2015, A.M. Best reaffirmed the A+ (Superior)financial strength rating and issuer credit ratings of aa- for Banner Life Insurance Company and William Penn Life Insurance Company of New York. Banner and William Penn are collectively referred to as Legal & General America (LGA). The outlook for all ratings is stable.
The press release said that “the rating actions reflect LGA’s strong competitive position in the U.S. term life marketplace, where it currently ranks fourth as measured by new term life annualized premiums. The ratings also reflect LGA’s solid operating performance as measured on both a U.S. GAAP and International Financial Reporting Standard (IFRS) basis, which has been enhanced by LGA’s efficient expense structure, its variable cost distribution network strategy and disciplined approach to mortality underwriting.
A.M. Best recognizes LGA’s strategic importance to L&G, which has provided explicit support when needed to sustain LGA’s new business growth. A.M. Best notes that L&G derives significant diversification benefits from LGA’s mortality business, which acts as a natural hedge to L&G’s life annuity business.”
More information on Best’s rating criteria can be found here.
An online version of the rating brochure for Legal & General America is in production at A.M. Best and will be posted to our consumer and agency websites once received.