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Editorial Advisory Board

  • Professor Andrea M. Armani, University of Southern California
  • Ruti Ben-Shlomi, Ph.D., LightSolver
  • James Butler, Ph.D., Hamamatsu
  • Natalie Fardian-Melamed, Ph.D., Columbia University
  • Justin Sigley, Ph.D., AmeriCOM
  • Professor Birgit Stiller, Max Planck Institute for the Science of Light, and Leibniz University of Hannover
  • Professor Stephen Sweeney, University of Glasgow
  • Mohan Wang, Ph.D., University of Oxford
  • Professor Xuchen Wang, Harbin Engineering University
  • Professor Stefan Witte, Delft University of Technology

AM Best Upgrades Credit Ratings of Northbridge Financial Corporation’s Members; Affirms Credit Ratings of Wentworth Insurance Company Limited

AM Best has upgraded the Financial Strength Rating (FSR) to A+ (Superior) from A (Excellent) and the Long-Term Issuer Credit Ratings (Long-Term ICRs) to “aa-” (Superior) from “a+” (Excellent) of the members of Northbridge Financial Corporation (Northbridge), which is composed of Federated Insurance Company of Canada, Northbridge General Insurance Corporation, Zenith Insurance Company and Verassure Insurance Company. All companies are domiciled in Ontario, Canada. Concurrently, AM Best has affirmed the FSR of A (Excellent) and the Long-Term ICR of “a” (Excellent) of Wentworth Insurance Company Limited (Wentworth) (Barbados). The outlook of these Credit Ratings (ratings) is stable. The aforementioned companies are subsidiaries of Fairfax Financial Holdings Limited (Fairfax) [TSX: FFH].

The ratings of Northbridge reflect the group’s balance sheet strength, which AM Best assesses as strongest, as well as its strong operating performance, neutral business profile and appropriate enterprise risk management (ERM).

The ratings also reflect Northbridge’s position within Canada’s commercial insurance market, diversified commercial lines franchise and strong broker distribution network. In recent years, the group has benefited from hardening rates across most lines, as well as strong underwriting results in commercial lines. Northbridge has continuously produced combined ratios and returns on equity superior to commercial lines composites.

Additionally, these ratings acknowledge the group’s favorable reserve development in most years and the financial flexibility provided by Fairfax, which maintains financial leverage that is in line with its current ratings, as well as additional liquidity sources given its access to capital markets and lines of credit. The upgrade reflects the enhanced credit profile of the group’s parent group, Fairfax, which provides support to Northbridge in the form of investment management and shared resources.

The ratings of Wentworth reflect its balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, limited business profile and appropriate ERM. The ratings also are enhanced by the benefits the company derives from its position in the Fairfax enterprise.

In addition, Wentworth’s ratings are supported by its historically profitable underwriting performance and favorable loss reserve development. Fairfax has demonstrated support for Wentworth by derisking the investment portfolio and providing capital to maintain ongoing risk-adjusted capitalization at the very strong level, as measured by Best’s Capital Adequacy Ratio (BCAR).

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 www.ambest.com.

Copyright © 2025 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.

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