A.M. Best Co. has assigned a debt rating of “bbb+” up to an issuance of $200 million 5.875% senior unsecured notes due February 2043 to be issued by Selective Insurance Group, Inc. (SIGI) (Branchville, NJ) [NASDAQ: SIGI].
Proceeds from the offering will be used to redeem SIGI’s outstanding 7.5% junior subordinated notes due 2066 and for general corporate purposes. Financial leverage and coverage measures will remain within A.M. Best’s guidelines for the assigned rating.
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. Key criteria utilized include: “Risk Management and the Rating Process for Insurance Companies” and “Insurance Holding Company and Debt Ratings.” Best’s Credit Rating Methodology can be found at www.ambest.com/ratings/methodology.
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