XL Capital Ltd. announced yesterday that its insurance and reinsurance subsidiaries, XL Insurance Ltd and

XL Re Ltd, became the first Bermuda-based companies to receive ratings from Moody's Investor Services on August 21, 2001.

Moody's has assigned an Aa2 insurance financial strength ratings to both companies.

It has also awarded the same insurance financial strength ratings to XL Reinsurance America Inc. (formerly NAC Reinsurance Corporation) and members of the XL America intercompany reinsurance pool, including Greenwich Insurance Company, Indian Harboir Insurance Company, XL Speciality Insurance Company and XL Insurance Company of New York, Inc.

Brian M. O'Hara, XL Capital president and chief executive officer, said: "The ratings reflect our strong balance sheet and the intellectual capital in our insurance and reinsurance operations.

"They also confirm that our business diversity, sound capitalisation, and our superior risk management strategy make us a leader in the industry."