AM Best assigned the Financial Strength Rating (FSR) of B++ (Good) and the Long-Term Issuer Credit Rating (Long-Term ICR) of “bbb” (Good) to Redbridge Insurance Company (RIC) (Puerto Rico). The outlook assigned to the FSR is stable, while the outlook assigned to the Long-Term ICR is positive. Concurrently, AM Best has affirmed the FSR of B++ (Good) and the Long-Term ICR of “bbb” (Good) of Redbridge Insurance Company Limited (RICL) (St. James, Barbados). The outlook of the FSR is stable, while the outlook of the Long-Term ICR is positive.

The Credit Ratings (ratings) assigned to RIC reflect its reinsurance agreement with RICL. These ratings also reflect RICL’s balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management.

The positive outlook of RICL’s Long-Term ICR reflects AM Best’s expectation that RICL will be able to maintain its sound business strategy of consistent global expansion, driven by geographic, product, and distribution channel diversification, while at the same time sustaining its favorable trend in operating performance. The positive Long-Term ICR outlooks also reflect expectations of a reinforced capital position supportive of an assessed risk-adjusted capitalization level of strongest, as measured by Best’s Capital Adequacy Ratio (BCAR).

RICL is an insurance and reinsurance company founded in December 2010, and is part of Redbridge Holding, LLC (Redbridge Holding), a company specialized in the management of insurance and reinsurance. Most members of RICL’s management team have worked together for many years in developing and expanding the company; consequently, the company has achieved significant growth in recent years. Companies incorporated into RICL’s organizational structure in more-recent years continue to provide services primarily to RICL, bolstering management’s commitment to expanding RICL. RIC plays a key role in facilitating the group’s stated strategy to operate directly in Puerto Rico with travelers’ insurance. Parental support is reflected in a 95% quota-share agreement. RICL’s main line of business is health insurance, with a complete network of operations that has enabled growth mainly in the Latin America and Caribbean markets. As of December 2024, health insurance constituted 52.6% of RICL’s portfolio, followed by property/casualty insurance with 31%, travel insurance with 6.9%, and the remaining in liabilities and life. The company is diversified geographically among 128 countries, with a focus in Latin America, and its largest concentration in Mexico (14.3%).

RICL’s balance sheet was reinforced through a USD 7 million capital infusion in 2025; nonetheless, it is still subject to volatility derived from the company’s net business portfolio distribution and growth, as well as from pressures stemming from changes in its asset structure and cession profile.

RICL’s loss ratio remains contained, driven by consistent improvements in its underwriting portfolio management. Moreover, after the incorporation of the new entities into the organization, the company’s cost-revenue structure shifted, increasing profitability. The company has maintained its retention, with an underwriting portfolio reflecting the business expansion initiatives. As of year-end 2024, RICL reflected sound underwriting and profitability metrics characterized by a 91.3% combined ratio, and a return-on-equity ratio of 32.6%. RICL continued to reflect profitable bottom-line results through October 2025, with a combined ratio within its five-year average, according to preliminary financial results.

Positive ratings actions could take place if the RICL sustains its favorable business strategy while generating a sound underwriting performance, in conjunction with a reinforced capital base that supports the strongest level of risk-adjusted capitalization. Negative rating actions could occur if underwriting results deteriorate and erode the company's capital base and reduce risk-adjusted capitalization to a level that no longer supports the ratings. Negative rating actions could also occur if financial leverage at RICL's holding company deteriorates.

 

Fuente: AM Best

Enlace: www.ambest.com