AM Best has affirmed the Financial Strength Rating of A- (Excellent) and the Long-Term Issuer Credit Rating of “a-” (Excellent) of SIAT-Società Italiana Assicurazioni e Riassicurazioni p.A. (SIAT) (Italy), a subsidiary of UnipolSai Assicurazioni S.p.A. (UnipolSai). The outlook of these Credit Ratings (ratings) is stable.

The ratings reflect SIAT’s balance sheet strength, which AM Best assesses as strong, as well as its adequate operating performance, neutral business profile and appropriate enterprise risk management (ERM).

The ratings also consider, in the form of a rating lift, AM Best’s expectation that UnipolSai will provide financial support to SIAT, if needed.

SIAT’s Best’s Capital Adequacy Ratio (BCAR) assessment was at the very strong level at year-end 2023, and AM Best expects it to be maintained, at least, at the very strong level over the medium term. SIAT maintains a strong liquidity profile, with liquid investments accounting for approximately 148% of net technical liabilities at year-end 2023. Offsetting factors in the balance sheet strength assessment include the company’s investment concentration in Italian government bonds and its dependence on reinsurance to write high-value risks.

SIAT has a track record of adequate underwriting performance, with volatility contained by an effective reinsurance programme. In 2023, pre-tax profits amounted to EUR 9.2 million (adjusted by AM Best for extraordinary income and expenses), with the combined ratio standing at 86.6% (as calculated by AM Best). SIAT’s five-year average combined ratio stood at 91.1% (2019-2023) (as calculated by AM Best). AM Best expects SIAT to continue to report profits, with combined ratios below 100%, supported by selective underwriting.

SIAT has an established reputation as a niche insurer in the marine hull and cargo segments, in which it ranks among the leading players in Italy. In addition, the company’s business profile is strengthened by its reciprocal outsourcing agreements with its parent, UnipolSai.

SIAT benefits from a developed ERM framework, with the risk function centralised at the group level.

This press release relates to Credit Ratings that have been published on AM Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best’s Credit Ratings. For information on the proper use of Best’s Credit Ratings, Best’s Performance Assessments, Best’s Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best’s Ratings & Assessments.

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Andrea Porta Financial Analyst +31 20 808 1700 andrea.porta@ambest.com Jose Berenguer, CFA Associate Director, Analytics +31 20 808 2276 jose.berenguer@ambest.com Christopher Sharkey Associate Director, Public Relations +1 908 882 2310 christopher.sharkey@ambest.com Al Slavin Senior Public Relations Specialist +1 908 882 2318 al.slavin@ambest.com