Business Wire·Feb 17, 2011, 2:36 PM ET

A.M. Best Affirms Ratings of Seven Seas Insurance Company, Inc.

OLDWICK, N.J.--(BUSINESS WIRE)--A.M. Best Co. has affirmed the financial strength rating of A (Excellent) and issuer credit rating of “a” of Seven Seas Insurance Company, Inc. (Seven Seas) (Riviera Beach, FL). The outlook for both ratings is stable.

The ratings reflect Seven Seas’ outstanding profitability, supportive capitalization and management’s specialty underwriting expertise within the ocean and inland marine cargo market. Much of the company’s success can be attributed to its strong client relationships, effective loss control and risk management techniques.

The ratings also acknowledge the synergies gained from Seven Seas’ effective low-cost distribution platform and preferential access to those it insures via the customer network of its affiliate, Tropical Shipping, one of the largest transporters of containerized cargo from the United States and Canada to the Caribbean region and the Bahamas. Seven Seas is ultimately owned by Nicor Inc. [NYSE: GAS], whose primary business is Nicor Gas, one of the nation’s largest distributors of natural gas.

The principal methodology used in determining these ratings is Best’s Credit Rating Methodology -- Global Life and Non-Life Insurance Edition, which provides a comprehensive explanation of A.M. Best’s rating process and highlights the different rating criteria employed. Additional key criteria utilized include: “Risk Management and the Rating Process for Insurance Companies” and “Understanding BCAR for Property/Casualty Insurers.” Methodologies can be found at www.ambest.com/ratings/methodology.

Founded in 1899, A.M. Best Company is the world's oldest and most authoritative insurance rating and information source. For more information, visit www.ambest.com.