Credit rating agency Fitch Ratings has upgraded the Insurer Financial Strength (IFS) rating of specialty insurer and reinsurer SiriusPoint Ltd. and its operating subsidiaries to “A” (Strong) from “A-” with a stable outlook.
The insurer’s long-term issuer default rating (IDR) was also upgraded to “BBB+” from “BBB”, and its senior debt rating was upgraded to “BBB” from “BBB-“.
Fitch explained that SiriusPoint’s strong financial performance, enhanced capitalization and reduced leverage ushered in the upgrade.
In its full-year 2025 results, SiriusPoint reported net income of $444 million, driven by “strong” operating income from underwriting profits and a $222 million gain from the sale of its managing general agent (MGA), ArmadaCorp Capital, LLC.
Additionally, the reinsurer also maintained “solid underwriting performance in 2025, 2024 and 2023,” with core combined ratios of 91.7%, 91% and 89.1%, respectively, according to Fitch.
These rates include 2.9 percentage points of manageable disaster impacts in 2025, primarily from California wildfires, 2.5 percentage points in 2024, and just 0.6 percentage points in 2023. The company also reported favorable reserve development forecasts of 2.8 percentage points in 2025, 4.6 percentage points in 2024 and 7.3 percentage points in 2023.
All of this reflects SiriusPoint’s underlying underwriting improvements and improved risk selection, and Fitch expects the reinsurer to continue improving primarily in its insurance business.
SiriusPoint’s financial leverage ratio (FLR) fell to 24.4% at end-2025 from 27.5% at end-2024, in line with Fitch’s expectations, due to growth in shareholders’ equity.
SiriusPoint’s 2025 score in the Fitch Prism Model is ‘Very Strong’, up from ‘Strong’ at end-2024, reflecting a 31% increase in available capital due to growth in shareholder equity.
Additionally, Fitch views SiriusPoint’s business profile as ‘Moderate’ compared to all other US/Bermuda non-life re/insurers. Its insurance and services segment contributed 59% of core net premiums in 2025, while its reinsurance reporting segment increased 41%.
This reflects a shift in its business mix from reinsurance to insurance and services, particularly in the accident and health (A&H), surety and specialty areas, to reduce overall volatility.
Fitch said: “The upgrade of SiriusPoint’s ratings reflects the strength and improvement in earnings in recent years, driven by good operating performance driven by solid underwriting profitability, and a reduced risk profile following a strategic repositioning of the re/insurance portfolio and the exit of non-core businesses to reduce overall volatility.”
SiriusPoint CEO Scott Egan added: “Fitch’s recognition is significant to us. This upgrade is a positive recognition of the progress we have made and the strength of our balance sheet. It also follows strong full-year results in 2025 and marks another important step forward for SiriusPoint. We enter 2026 with real momentum.”
As always, Fitch will continue to monitor SiriusPoint’s operations in case of changes to the ratings.
