AM Best Upgrades Credit Ratings of Northbridge Financial Corporation's Members; Affirms Credit Ratings of Wentworth Insurance Company Limited

Executive Summary

• AM Best upgraded Northbridge Financial Corporation’s Financial Strength Rating to A+ (Superior) and its Long‑Term Issuer Credit Rating to “aa‑” (Superior).
• Wentworth Insurance Company Limited received an affirmation of its A (Excellent) Financial Strength Rating and “a” (Excellent) Long‑Term ICR.
• Both upgrades reflect stronger balance sheets, improved underwriting performance, favorable reserve development, and the financial support of parent Fairfax Financial Holdings Ltd.

Key Details

• Northbridge Financial Corp. – FSR upgraded from A (Excellent) to A+ (Superior); Long‑Term ICR upgraded from “a+” (Excellent) to “aa‑” (Superior).
• Wentworth Insurance Co. Ltd. – FSR affirmed at A (Excellent); Long‑Term ICR affirmed at “a” (Excellent).
• Outlook for all ratings remains stable.
• Rating rationale includes:
• Strong balance sheet and liquidity, backed by Fairfax’s capital market access and credit lines.
• Superior operating performance with combined ratios and ROE above commercial line composites.
• Favorable reserve development and hardening insurance rates across most lines.
• Robust broker distribution network and diversified commercial lines franchise for Northbridge.
• Fairfax Financial Holdings Ltd. (TSX: FFH) provides financial leverage, investment management support, and shared resources enhancing the credit profile of its subsidiaries.
• Wentworth’s ratings supported by historically profitable underwriting, favorable loss reserve development, and Fairfax’s derisking of its investment portfolio.

Notable Quotes

(No direct quotes were provided in the release.)