Building on 10 years of steady growth in North America, Coface Holding Company, a unit of Coface Group, has announced the establishment of Coface North America Insurance Company, a Massachusetts insurance company licensed to issue insurance policies in 21 states. These states cover the majority of Coface’s current business in the US, and the company plans to become licensed in all 50 states. The Fitch AA rating of Coface Group has been extended to Coface North America Insurance Company.
The establishment of Coface North America Insurance Company confirms Coface’s growth strategy and ongoing commitment to the North American market, claims the firm. In late 2002, Coface acquired CNA’s credit insurance operations. Now, Coface will be able to issue credit insurance policies directly to companies in the United States. Coface’s U.S. clients will benefit from better access to all of Coface’s insurance and credit management products as well as the strength and stability of the Coface Group. In addition to its Fitch AA rating, Coface Group is rated Aa3 by Moody’s.
To create Coface North America Insurance Company, Coface Holding Company purchased all shares of capital stock of Arkwright Insurance Company from Factory Mutual Insurance Company, part of the FM Global Group. Arkwright Insurance Company had been largely inactive since the 1999 merger of its parent, Arkwright Mutual Insurance Company and Protection Mutual Insurance Company with and into Factory Mutual Insurance Company, formerly Allendale Mutual Insurance Company. Arkwright Insurance Company was renamed Coface North America Insurance Company immediately following the acquisition.
“This acquisition allows Coface to fulfil its goal of becoming a leader in the US credit insurance market,” says Michael J Ferrante, president and CEO of Coface North America Insurance Company. “Not only are we more equipped to meet the domestic and export protection needs of our clients, but US companies can take full advantage of Coface’s global expertise in credit insurance and credit management.”