Bermuda re/insurer American Safety Insurance Holdings Ltd’s subsidiaries’ (ASI) financial strength rating of A (excellent) and issuer credit rating of “a” have been affirmed by AM Best Co.Best also has affirmed the ICR of “bbb” of ASI. The outlook for all ratings is stable.The ratings were based on the consolidated financial condition and operating performance of the entities comprising ASI and reflect the consolidated group’s excellent capitalisation, solid overall operating results and effective management of its insurance operations.The ratings also recognise the group’s underwriting expertise and discipline in its niche markets with customised risk management programmes and loss control services. Partially offsetting these positive factors are some variability of underwriting results in some of the group’s operating subsidiaries.Best said that ASI’s overall capitalisation was excellent due to being able to secure substantial capital to support its premium growth over recent years. Through secondary public offerings of stock in 2006, as well as retained earnings and trust-preferred securities placements, the group has built a solid capital base to support its underwriting, asset and credit risks. Its balance sheet strength is also stabilised by conservatively invested assets and strengthened reserves.