Financial Strength and Solvency

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 minimum solvency capital required to be retained to meet solvency requirements under the Insurance (Prudential Supervision) Act 2010 are shown below. As at 30 September 2023 the solvency margin is $19.217 million.

  Statutory Fund
as at 30 Sept 2023
$000
Non-Statutory Fund
as at 30 Sept 2023
$000
Aggregate for FLNZ
as at 30 Sept 2023
$000
Actual solvency capital
24,161 56 24,217
Minimum solvency capital
2,512 - 5,000 *
Solvency margin
21,649 56 19,217
RBNZ minimum solvency margin
(15,000) ** - -
Margin in excess of required minimum
6,649 56 19,217
Solvency ratio
962% 20000% 484%

* The company is required to hold $5m minimum solvency capital at the company level.

** A condition of Foundation Life (NZ) Limited's licence is to maintain a minimum solvency margin in its statutory fund of $15 million.