AM Best Affirms Credit Ratings of Coface SA’s Main Operating Subsidiaries
AM Best has affirmed the Financial Strength Rating of A (Excellent) and the Long-Term Issuer Credit Ratings of “a+” (Excellent) of Compagnie française d’assurance pour le commerce extérieur (la Compagnie) (France), Coface North America Insurance Company (CNAIC) (United States) and Coface Re SA (Coface Re) (Switzerland), which are subsidiaries of Coface SA (Coface), the non-operating holding company of the Coface group. The outlook of these Credit Ratings (ratings) is stable.
The ratings reflect Coface’s balance sheet strength, which AM Best assesses as very strong, as well as its strong operating performance, favourable business profile and appropriate enterprise risk management. The ratings of la Compagnie and CNAIC consider their strategic importance to the Coface group as key operating entities. Coface Re is strategically important to the group as its sole intragroup reinsurer.
Coface’s balance sheet strength assessment is underpinned by consolidated risk-adjusted capitalisation at the strongest level, as measured by Best’s Capital Adequacy Ratio (BCAR). The group’s BCAR includes partial credit for its hybrid securities. AM Best expects the group’s risk-adjusted capitalisation to remain at the strongest level prospectively, supported by good internal capital generation. Offsetting factors include significant operating leverage, driven by the group’s factoring business and a high dependence on reinsurance, although the associated risks are moderated by its well-diversified, high credit quality reinsurance panel. Financial leverage as calculated by AM Best stood at 31.5% at year-end 2025, including excess operating leverage above AM Best’s tolerance. Interest coverage at year-end 2025 was strong.
