AM Best has assigned a financial strength rating of B (Fair) and a long-term issuer credit rating of “bb+” (Fair) to Interplus Re Limited (Interplus), a Barbados-based reinsurer. The outlook for both ratings is stable.
According to AM Best, the ratings reflect Interplus’ strong balance sheet strength, adequate operating performance, limited business profile, and appropriate enterprise risk management.
Interplus was incorporated on Aug. 11, 2021, as a Class 2 License Insurance Company under the laws of Barbados. The company is 98% owned by INTEHO Limited, also based in Barbados.
Its reinsurance portfolio is primarily concentrated in property business, which accounts for approximately 79% of gross written premiums. Other segments include surety and credit (12%), accident and health (8%), and life (less than 1%).
The geographic mix of Interplus’ business is weighted toward Latin America and the Caribbean, which represent two-thirds of its total underwriting, including a 29% concentration in Ecuador as of December 2024. The remaining 34% is spread across Asia (25%), Africa (5%), Europe (4%), and Oceania (less than 1%).
In 2024, Interplus reported US$34.9 million in gross written premiums, marking its third year of operations. AM Best considers the company’s business profile limited due to its relatively recent formation and small size in the context of the global reinsurance market.
The rating agency assesses the company’s balance sheet strength as strong. This assessment considers factors such as start-up volatility, an evolving investment strategy, and a changing risk profile. Interplus’ capital base stood at US$25.1 million at year-end 2024, supported by positive net earnings and shareholder capital contributions since inception.
Interplus posted a bottom-line result of US$16 million in 2024. Technical results were aided by reserve adjustments, contributing to a combined ratio of 32%. AM Best noted that the result remained well within premium sufficiency levels and expects profitability to continue through adequate risk selection and cost stability.
The reinsurance sector in the Caribbean region has seen a range of rating movements in recent months. Eureka-Re SCC, another reinsurer based in Barbados, was upgraded last year by AM Best from B++ to A–.
The improvement was attributed to its growing capital base and broadened exposure across Latin American markets, signaling increased regulatory and financial confidence in reinsurance platforms operating in the region.
Interplus’ rating was issued amid a generally stable period for the global reinsurance market. AM Best noted in a separate market review that underwriting results across the industry remained strong through the first half of 2024, with average combined ratios of 82% among European reinsurers and 86% among those in the US and Bermuda.
These trends provide a benchmark context for assessing Interplus’ 32% combined ratio, though the company’s smaller scale and geographical concentration pose separate risk considerations.
Within the Caribbean market, Interplus joins a cohort of regional reinsurers with varying credit profiles. Active Re, also headquartered in Barbados, recently had its financial strength rating affirmed at A with an Issuer Credit Rating of “a.”
AM Best cited Active Re’s very strong balance sheet and consistent operating performance as key drivers for the affirmation. The comparison highlights Interplus’ relatively early-stage development.
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