ING Canada Group’s issuer credit ratings and financial outlook

ING Canada Group (ING Canada) has recently been assigned issuer credit ratings (ICR) of “aa-” while ING Canada Inc. (TSX: IIC.LV) has been assigned an ICR of “a-” from A.M. Best. These ratings, according to A.M. Best, reflect ING Canada’s risk-based capitalization and the financial flexibility offered by ING Canada Inc.’s Dec. 2004 offering. In addition, A.M. Best affirmed the Company’s financial strength rating of A+ (superior).For Allianz Insurance Company of Canada (Allianz Insurance) and Trafalgar Insurance Company of Canada (Trafalgar) now included in the ING Canada Group along with , Belair Insurance Company Inc., ING Insurance Company of Canada, ING Novex Insurance Company of Canada, The Nordic Insurance Company of Canada A.M. Best also upgraded the financial strength ratings to A+ (Superior) from A- (Excellent) and B+ (Very Good), respectively. All ratings have a stable outlook. However, the rating strengths were somewhat offset by the pricing and reserving risks associated with re-underwriting Allianz Insurance and Trafalgar books companies’ purchased by ING Canada Inc. in Dec. 2004. A.M. Best adds that ING Canada will be further challenged by the emergence of competitive market pricing in commercial lines as well as by the risk of uncertainty regarding the long-term underwriting effects on personal auto due to Canada’s regulatory reforms.