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World Insurance Report

AM Best warns on reserves

After XL Capital's unexpected reserve charge of $191mn, the agency warned that more reinsurers may have to augment their reserves for the 1997 to 2001 period

AM Best warns on reserves

AM Best has quickly followed up its warnings over US reinsurers' reserve adequacy by placing the financial strength ratings of Munich Re (A+) and its American Re subsidiary (A) under review with negative implications. These actions were precipitated by Munich Re's disclosure that it was to conduct a thorough review of American Re's reserves and by a meeting with the company, AM Best stated.

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