Fitch Ratings has assigned an A- long-term issuer rating to Royal & SunAlliance (R&SA). It has also given a BBB+ rating to the junior subordinated debt issued by Royal & SunAlliance Insurance Group PLC (R&SAIP). The rating outlook is stable.
Fitch said: "The rating reflects R&SA's strong global position, sound reserving practices, conservative investment philosophy, and improving trading conditions in the group's core markets.
"The rating also takes account of the intensely competitive nature of R&SA's core markets, poor recent earnings and the delay in releasing capital from non-core investments to support future growth."
Fitch said it will continue to closely monitor the group as it believes it has the potential for "significant progress" during 2002.
