Global credit rating agency Fitch Ratings has issued a report examining a group of Bermuda and U.S. re/insurance companies, namely Arch Capital Group Ltd., Ascot Group Limited, Hamilton Insurance Group Ltd., RenaissanceRe Holdings Ltd. and SiriusPoint Ltd.
Fitch Ratings noted in its report that the overall financial strength of the group remains solid despite differences in rating levels across companies. Arch is rated ‘AA–’, while Ascot and RenaissanceRe are both rated ‘A+’.
SiriusPoint has an ‘A’ rating, which was upgraded from ‘A-‘ in February 2026, as improved underwriting performance and a lower risk profile following portfolio repositioning support earnings growth. Hamilton was rated an “A-“.
Fitch Ratings highlights capitalization and leverage as key factors underpinning the overall group rating. Capital-related scores range from ‘aa’ to ‘a’, reflecting their importance in supporting credit quality.
The group’s capital adequacy is assessed as “very strong” to “very strong” at the end of 2025, according to Fitch Ratings’ Prism global capital model. Financial leverage remains relatively low to moderate, typically between 5% and 24%, which Fitch Ratings considers appropriate at current rating levels.
The report also noted a decline in underwriting performance. The combined ratio will either increase or remain unchanged in 2025, primarily due to higher catastrophe losses, including those related to the California wildfires. This was partially offset by favorable reserve development.
Fitch expects continued pressure on underwriting results in 2026 as market conditions soften, but expects all companies to maintain underwriting profitability. Arch is considered to be outperforming its peers, with a financial performance and earnings score of “aa-,” driven by its historically sustained profitability and relatively low combined ratios in the mortgage insurance space.
In terms of business profile, Fitch assesses Arch as “Good”, consistent with its “aa-” credit factor score. Ascot, Hamilton, RenaissanceRe and SiriusPoint were all rated ‘moderate’, consistent with the ‘a’ category score. The report notes that business profile is an important rating consideration, particularly given the role of scale, diversification and premium volume in determining competitive strength.
Fitch also noted that the companies maintain a diversified underwriting portfolio in reinsurance and primary insurance, with exposures spread by geography and product line.
RenaissanceRe operates primarily as a reinsurer, although it also underwrites some primary business through licensing arrangements. While other companies maintain a more balanced mix of reinsurance and primary insurance activities, Arch also benefits from a significant position in the primary mortgage insurance market.
Fitch Ratings explained that its analysis is based on its insurance rating criteria and incorporates each company’s Rating Navigator, which assesses nine key credit factors for an insurer’s financial strength rating. The report also reflects previous rating actions, including an upgrade of Arch Capital’s debt rating by Fitch Ratings in September 2025, while affirming its IFS rating with a stable outlook.
