MEXICO CITY–()–AM Best has assigned a Financial Strength Rating of B++ (Good) and a Long-Term Issuer Credit Rating of “bbb” (Good) to Spheric Assurance Company, Ltd (Spheric) (British Virgin Islands). The outlook assigned to these Credit Ratings (ratings) is stable.

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

The stable outlooks are based on AM Best’s expectation that Spheric will maintain its risk-adjusted capitalization at the strongest level in support of the rating, as measured by Best’s Capital Adequacy Ratio (BCAR), while keeping up its adequate level of operating performance that is mainly driven by good underwriting results, resulting in recurrent premium sufficiency.

Spheric’s has steadily strengthened its capital base by reinvesting its earnings. The strong balance sheet assessment also factors in the company’s conservative investment portfolio, mainly integrated by investment funds and certificates of deposit. Despite the company’s reinsurance dependence over the years, Spheric has managed to increase its retention as its expertise in its niche markets sharpens.

The company has shown positive bottom-line results over the years; Spheric’s operating performance has been underpinned by positive technical results, while pursuing new niche opportunities in the market. AM Best expects the company to maintain premium sufficiency levels while implementing its expansion strategy.

AM Best assesses the company’s business profile as limited; Spheric concentrates its efforts in niche markets and the geographic diversification of is premiums and client base is somewhat narrow. The company is based in the British Virgin Islands and fully owned by Global Insurance Group Holding Company. Spheric operates with gross premiums written composed of personal boats (highest share), kidnap and ransom and personal accidents.

Spheric’s ERM is considered appropriate, as it is well-integrated into its operations. The company has a sound reinsurance program in place with reinsurers that are highly rated.

Negative rating actions could take place if there is a deterioration in the company’s risk-adjusted capitalization due to major capital outflows or a negative trend in operating results.

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.

AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit

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