Standard & Poor's (S&P)has lowered its long-term counterparty credit and insurer financial strength ratings on Norwich Union (NU) to AA minus from AA.
Standard & Poor's (S&P) has lowered its long-term counter party credit and insurer financial strength ratings on Norwich Union (NU) to AA minus from AA.
The downgrade signals a lowering of S&P's opinion of NU's ability to repay its debts and honour its commitments to policyholders.
S&P credit analyst Hans Wright said: "The lowering of the ratings on the subsidiaries reflects the impact of weak financial markets on [NU parent] Aviva's ability to generate retained earnings."
However S&P said it still holds a positive view of NU's management, and forecasts strong future earnings.
The new ratings indicate that NU is viewed as having a very low level of credit risk, it said.
