Bermudian-based Legal and General Reinsurance said today that Fitch Ratings has upgraded its insurer financial strength to AA- from A+.

AA ratings suggest a very low expectation of ceased or interrupted payments, and they indicate very strong capacity to meet policyholder and contractual obligations. This capacity is not especially vulnerable to foreseeable events.

Following substantial growth of L&G Re’s internal and external reinsurance business volumes, and its value to L&G in capital management terms, L&G Re’s strategic importance has also been upgraded from “very important” to “core”.

Fitch ranks Legal and General’s business profile as favourable compared with other life insurance companies in the UK. The rating also confirms the group’s strong business profile, financial performance, investment and asset risk strategy and earnings from products in the overseas markets.