S&P Global Ratings has assigned a 'AA-' long-term financial strength rating to Singapore Reinsurance (Sing Re). The stable outlook reflects that on the guarantor, Odyssey Re, and is aligned with the outlook on the ultimate parent, Fairfax Financial Holdings.
Odyssey Re has provided a guarantee for the due and punctual performance of all present and future (re)insurance obligations of Sing Re. Because the guarantee is limited solely to (re)insurance obligations and does not extend to general obligations, an issuer credit rating has not been assigned to Sing Re.
Sing Re also benefits from an unconditional and irrevocable guarantee issued by Odyssey Re (AA-/Stable/--).
The guarantee ensures the prompt payment of all existing and future (re)insurance liabilities of Sing Re and is enforceable directly by Sing Re’s policyholders. This guarantee exclusively covers the (re)insurance obligations of Sing Re’s policyholders and explicitly ranks pari passu with Odyssey Re’s own senior unsecured obligations.
At year-end 2024, the company held shareholders’ equity of $267 million, accounting for approximately 1% of Fairfax Financial Holdings consolidated equity. Sing Re’s investment portfolio totalled $482 million, also representing less than 1% of the group’s total investments.
The stable outlook on Sing Re mirrors S&P’s outlook on the guarantor, Odyssey Re, and it reflects the expectation that the guarantee will remain in force.
The rating and outlook are expected to remain aligned with those on the guarantor.