AM Best cuts Singapore Ergo unit outlook to negative

AM Best has revised the outlook for the Singaporean unit of Ergo to
negative from stable, while affirming its A- financial strength
rating and its A- long-term issuer credit rating.
The revised outlook at Ergo Insurance Pte Ltd, whose ultimate
owner is Munich Re, reflects "the declining trends in
Ergo's Insurance's risk-adjusted capitalisation and
operating performance relative to its peers", said AM
Best.
The ratings agency noted that retained losses and high dividend
payments have weighed on t