A.M. Best Affirms Ratings of Seven Seas Insurance Company, Inc.

A.M. Best Co. has affirmed the financial strength rating (FSR) of A (Excellent) and issuer credit rating (ICR) of "a" of Seven Seas Insurance Company, Inc. (Seven Seas) (Riviera Beach, FL). The outlook for the FSR is stable, while the outlook for the ICR is positive.

These ratings reflect Seven Seas' consistent generation of exceptional underwriting and operating results, excellent capitalization and the synergies gained from its effective low-cost distribution platform and preferential access to those it insures via the customer network of its affiliate, Tropical Shipping and Construction Company Limited (Tropical Shipping). Tropical Shipping is one of the largest transporters of containerized cargo from the United States and Canada to the Bahamas and the Caribbean.

The ratings also acknowledge management's specialty underwriting expertise within the ocean and inland marine cargo market, as well as its strong client relationships, effective loss control and risk management techniques.

Seven Seas and Tropical Shipping are ultimately owned by AGL Resources Inc. (AGL) [NYSE: GAS], an Atlanta-based energy services holding company, one of the nation's largest natural gas distribution companies.

Positive rating actions could occur if Seven Seas can sustain its outstanding underwriting and operating results and excellent risk-adjusted capitalization. Negative rating actions could occur if capitalization and/or operating performance fall markedly short of A.M. Best's expectations, including a significant deterioration in loss trends and unforeseen changes in its existing operations and/or business strategy.

The methodology used in determining these ratings is Best's Credit Rating Methodology, which provides a comprehensive explanation of A.M. Best's rating process and contains the different rating criteria employed in the rating process. Best's Credit Rating Methodology can be found at www.ambest.com/ratings/methodology.

A.M. Best Company is the world's oldest and most authoritative insurance rating and information source. For more information, visit www.ambest.com.

Copyright © 2014 by A.M. Best Company, Inc. ALL RIGHTS RESERVED.

A.M. Best Co.
Richelle Bryan, 908-439-2200, ext. 5344
Financial Analyst
[e-mail]
or
Joseph Roethel, 908-439-2200, ext. 5630
Assistant Vice President
[e-mail]
or
Rachelle Morrow, 908-439-2200, ext. 5378
Senior Manager, Public Relations
[e-mail]
or
Jim Peavy, 908-439-2200, ext. 5644
Assistant Vice President, Public Relations
[e-mail]