Financial Strength and Solvency
A- (Excellent)
Foundation Life (NZ) Limited has an A- (Excellent) Financial Strength Rating from A.M. Best, effective 23 August 2023.
The rating scale
Secure |
Vulnerable |
| A++, A+ (Superior) A, A- (Excellent) B++, B+ (Good) |
B, B- (Fair) C++, C+ (Marginal) C, C- (Weak) D (Poor) E (Under Regulatory Supervision) F (In Liquidation) S (Suspended) |
| For the latest rating, access www.ambest.com. This rating should not be read as a recommendation. | |
Solvency Margin
The solvency requirements for the Company under the Insurance (Prudential Supervision) Act 2010 are shown below.
The solvency capital and the adjusted prescribed capital requirement are determined according to the solvency standards issued by the Reserve Bank of New Zealand, this is adjusted for any minimum solvency margin imposed by the Reserve Bank of New Zealand on the Company. A condition of the Company’s licence is to maintain a minimum solvency margin in its statutory fund of $3m.
As at 31 December 2023 the adjusted solvency margin is $52.345m.
| Statutory Fund as at 31 Dec 2023 $000 |
Non-Statutory Fund as at 31 Dec 2023 $000 |
Entire Insurer as at 31 Dec 2023 $000 |
|
|---|---|---|---|
Solvency Capital |
69,946 | 58 | 70,004 |
Adjusted Prescribed Capital Requirement |
17,659 | - | 17,659 |
Adjusted Solvency margin |
52,287 | 58 | 52,345 |
Solvency ratio |
396% | 20000% | 396% |