ING ratings affirmed on combined investment and underwriting strength

The “A+” (excellent) financial strength rating of ING Canada Group has been affirmed by A.M. Best, on the back of strong underwriting and investment performance.ING Canada includes Belair Insurance Co., ING Insurance Co., ING Novex and Nordic Insurance Co. The group rating has a stable outlook.Despite ING’s exposure to the troubled auto line, specifically in Ontario and Alberta, and the challenge of low interest rates on investment income, the company is producing strong results and has a superior level of capitalization, the rater says.The rater goes on to praise ING’s conservative underwriting and reserving strategy, and geographic spread of risk. Because of its strong performance in Quebec, the company can offset the rising loss costs coming from the auto product in Ontario, Alberta and Atlantic Canada.A.M. Best further expects underwriting performance to improve, although this may be tempered by auto insurance reform initiatives.