A.M. Best reconfirms Assumption Life’s A- rating

3/28/2014 12:00:00 AM

A.M. Best has reconfirmed Assumption Life’s financial strength by giving it a rating of A- for the 15th consecutive year. This rating reflects the New Brunswick company’s diversity of assets, the profitability of its operation and its ability to adapt to economic fluctuations.

A.M. Best is one of the oldest agencies specializing in independent evaluations of the financial health and creditworthiness of insurance and reinsurance companies worldwide. The A.M. Best rating serves as a reference for insured parties and investors.

“This rating says a great deal about our financial management, performance, products, and, most of all, our stability,” said Robert Moreau, Vice President and Chief Financial Officer of Assumption Life. “This shows our clients and brokers that we are a trustworthy company that can meet its obligations to policyholders. The financial results reported at our recent annual meeting confirm this. We are in excellent financial health. For the past five years, our growth has surpassed the industry average.”

The agency indicated in a letter to Assumption Life regarding its rating that the company has recorded profitable operating results for the past five years, in part by pursuing its national penetration, while maintaining its position in the Atlantic markets. According to A.M. Best, this growth is made possible by the diversification of its distribution network and technology enhancement. Analysts noted its new electronic sales platform.

“We now have 7,000 brokers across Canada,” Mr. Moreau said. “In April 2006, we had fewer than 1,400. To maintain our momentum, we need to offer our sales force and clients innovative products and advanced technology that meet their needs. This is one of the reasons why we launched our new electronic sales platform for life insurance, which has been generating a lot of buzz.” Assumption Life set itself apart from the competition with its 2013 launch of a new electronic sales platform for life insurance products. LIA (Life Insurance Anywhere) allows brokers to work directly on tablets and laptops, “putting behind us the challenges and wait-times associated with paper applications,” Mr. Moreau said.