Investing.com -- AM Best, the credit rating agency, has upheld the Financial Strength Rating (FSR) of A+ (Superior) and the Long-Term Issuer Credit Ratings (Long-Term ICR) of “aa” (Superior) for Allianz (ETR: ALVG ) SE and its rated subsidiaries. The agency also confirmed the Long-Term Issue Credit Ratings (Long-Term IR) of Allianz Finance II B.V.’s rated debt instruments, which are guaranteed by Allianz. The outlook for these credit ratings remains stable.

The ratings are a testament to Allianz’s robust balance sheet, strong operating performance, favorable business profile, and appropriate enterprise risk management. The balance sheet strength of Allianz is supported by its risk-adjusted capitalization, as gauged by Best’s Capital Adequacy Ratio (BCAR). This is expected to stay at the strongest level for the year-end 2024 and beyond, backed by strong earnings and prudent capital management. The balance sheet strength also benefits from the group’s robust asset-liability and liquidity management as well as prudent reserving practices.

Allianz’s strong operating performance reflects its diversified earnings profile and a history of stable income. In 2024, Allianz reported strong operating results, driven by solid returns from its diversified income streams, stringent underwriting discipline, and effective expense management. The group’s performance was further bolstered by healthy growth in business volumes and excellent returns across its life and property/casualty segments. AM Best anticipates the group’s technical performance to remain strong over the cycle.

Allianz, one of the world’s largest insurance groups, is well-diversified by geography and business lines. It holds leading positions in many developed and emerging markets, providing a full range of life and non-life insurance solutions and asset management services. The organization’s competitive position is bolstered by its scale, strong management capabilities, and brand recognition.

AM Best has also affirmed the FSR of A+ (Superior) and the Long-Term ICRs of “aa” (Superior) with stable outlooks for several Allianz subsidiaries, including Allianz Global Corporate & Specialty Resseguros Brasil S.A., Allianz S.p.A., Allianz Risk Transfer AG, and Allianz Life Insurance (NSE: LIFI ) Company of North America, among others.

The Long-Term IRs of Allianz Finance II B.V., which are guaranteed by Allianz SE, have also been confirmed with stable outlooks. These include "aa" (Superior) on EUR 750 million 3% senior unsecured bonds, due 2028, and "aa" (Superior) on GBP 750 million 4.5% senior unsecured bonds, due 2043.

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