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AM Best Affirms Credit Ratings of Symetra Financial Corporation and Its Subsidiaries

AM Best has affirmed the Financial Strength Rating of A (Excellent) and the Long-Term Issuer Credit Ratings (Long-Term ICR) of "a+" of Symetra Life Insurance Company and its subsidiary, First Symetra National Life Insurance Company of New York (New York, NY), together referred to as Symetra Life Group. Concurrently, AM Best has affirmed the Long-Term ICR of "bbb+" and the Long-Term Issue Credit Rating (Long-Term IR) of Symetra Financial Corporation (Symetra). The outlook of these Credit Ratings (ratings) is stable. All companies are headquartered in Bellevue, WA, unless otherwise specified.

The ratings reflect Symetra Life Group’s balance sheet strength, which AM Best categorizes as very strong, as well as its adequate operating performance, favorable business profile and appropriate enterprise risk management.

Symetra Life Group’s balance sheet continues to be anchored by its very strong risk-adjusted capitalization, as measured by Best’s Capital Adequacy Ratio (BCAR). Additionally, the overall balance sheet strength assessment reflects favorable financial flexibility at the operating companies, as well as the commitment of its parent, Sumitomo Life Insurance Company, to support its operations and strategic objectives. Symetra Life Group continues to report good revenue growth though the first three quarters of 2019, and sales in its core medical stop-loss products were favorable year-over-year. Additionally, the group introduced a registered indexed linked annuity product that partially offset dampened sales of fixed-indexed annuity products relative to the prior year. AM Best notes that Symetra Life Group’s diverse product offerings, distribution channels and partnerships continue to benefit its operations and that the company continues to work to enhance its brand recognition through national advertising campaigns and corporate sponsorships. The organization’s risk management capabilities are appropriate for its overall risk profile, with fully developed risk governance and well communicated risk appetites and tolerances in place.

The following Long-Term IR has been affirmed with a stable outlook:

Symetra Financial Corporation—
-- "bbb+" on $250 million 4.25% senior unsecured notes, due 2024

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 Understanding Best’s Credit Ratings. For information on the proper media use of Best’s Credit Ratings and AM Best press releases, please view Guide for Media - Proper Use of Best’s Credit Ratings and AM Best Rating Action Press Releases.

AM Best is a global credit rating agency, news publisher and data provider specializing in the insurance industry. The company does business in more than 100 countries. Headquartered in Oldwick, NJ, AM Best has offices in cities around the world, including London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.

Copyright © 2019 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.

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Contacts

Kate Steffanelli
Senior Financial Analyst
+1 908 439 2200, ext. 5063
kate.steffanelli@ambest.com

Thomas Rosendale
Director
+1 908 439 2200, ext. 5201
thomas.rosendale@ambest.com

Christopher Sharkey
Manager, Public Relations
+1 908 439 2200, ext. 5159
christopher.sharkey@ambest.com

Jim Peavy
Director, Public Relations
+1 908 439 2200, ext. 5644
james.peavy@ambest.com