A.M. Best Assigns Issue Credit Rating to W. R. Berkley Corporation's Subordinated Debentures

A.M. Best has assigned a Long-Term Issue Credit Rating of "bbb+" to the recently announced $175 million 5.70% subordinated debentures due 2058 of W. R. Berkley Corporation (WRB) (Greenwich, CT) WRB. The outlook assigned to the Credit Rating (rating) is stable. The existing ratings of WRB and its subsidiaries are unchanged.

Proceeds from the sale will be used for general corporate purposes. The addition of the debentures will modestly increase WRB's financial leverage and interest obligations in the short term, but leverage and coverage are expected to decline in 2019 as two senior notes totaling approximately $450 million are expected by A.M. Best to be redeemed at maturity. WRB maintains financial leverage and coverage that are within A.M. Best's guidelines for its rating.

Over the most recent five-year period, WRB has produced strong underwriting and operating results, and A.M. Best anticipates that the company will continue to produce favorable results over the long term while maintaining very strong risk-adjusted capitalization and moderate financial leverage.

This press release relates to Credit Ratings that have been published on A.M. 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 A.M. 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 A.M. Best press releases, please view Guide for Media - Proper Use of Best's Credit Ratings and A.M. Best Rating Action Press Releases.

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