DBRS Morningstar Publishes Updated Global Methodology for Rating Insurance Companies and Insurance Organizations

DBRS Morningstar published an updated version of its Global Methodology for Rating Insurance Companies and Insurance Organizations (the Methodology).

With this update, a few minor considerations have been incorporated into the Methodology. In particular, DBRS Morningstar has further clarified that securities issued by insurance companies are typically not rated higher than their domestic sovereign. DBRS Morningstar has also provided additional details regarding the notching treatment of hybrids that convert to preferred shares. Finally, the title of the Methodology has been updated to better reflect its overall applicability to insurance companies.

DBRS Morningstar has conducted a periodic review of the Methodology. This update supersedes the previous version published on July 21, 2020, and is effective as of July 16, 2021. DBRS Morningstar deems the update not to be material and has determined that no ratings are expected to change as a result of this update.

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DBRS Morningstar methodologies are publicly available on its website www.dbrsmorningstar.com under Methodologies & Criteria.

For more information regarding rating methodologies and Coronavirus Disease (COVID-19), please see the following DBRS Morningstar press release: https://www.dbrsmorningstar.com/research/357883.

For more information on this methodology or on this industry, visit www.dbrsmorningstar.com or contact us at [email protected].