How are monoline insurers rated?
Credit rating agencies frequently evaluate bond insurers’ claims-paying ability—through detailed analyses of financial resources, operations, and exposures—and publish regular reports on each insurer. Credit rating agencies look at key indicators, including the quality of the insured portfolio, capital adequacy, financial performance, operating efficiency, risk management, liquidity of assets, reinsurance, business viability, ownership, and the skill and experience of management.
