A.M. Best Affirms Ratings of MAPFRE PRAICO Group

OLDWICK, N.J.--(Business Wire)--
A.M. Best Co. has affirmed the financial strength rating of A (Excellent) and
issuer credit ratings (ICR) of "a+" of MAPFRE PRAICO Group and its members,
which consist of the lead company, MAPFRE PRAICO Insurance Company and its
wholly owned subsidiary, MAPFRE Preferred Risk Insurance Company, as well as an
affiliate company, MAPFRE Pan American Insurance Company, whose businesses are
significantly reinsured by MAPFRE PRAICO Insurance Company. The outlook for all
ratings is stable. All companies are domiciled in San Juan, Puerto Rico.

The ratings reflect MAPFRE PRAICO Group`s strong capitalization, favorable
operating performance and solid market presence in Puerto Rico. The positive
rating factors are derived from the group`s steady stream of investment income,
strong underwriting results and favorable reserve development. The group
maintains a conservative underwriting philosophy and comprehensive reinsurance
program, which protect surplus from shock losses and enhance stability of
earnings. In addition, the ratings reflect the group`s solid brand name and
integral role as a member of MAPFRE S.A., the largest insurance group in Spain.

Partially offsetting these positive rating factors is the group`s geographic
concentration of risk. As a property writer in Puerto Rico, the group`s capital
is exposed to frequent and severe weather-related events. In addition, the group
is exposed to judicial, regulatory and economic concerns as evidenced by the
economic recession that began in 2006 and continues to place pressure on the
group`s profitability. Nevertheless, MAPFRE PRAICO Group is one of the top three
property writers on the island and continues to develop products and platforms
that will benefit the organization`s future earnings and capital appreciation.

For Best`s Credit Ratings, an overview of the rating process and rating
methodologies, please visit www.ambest.com/ratings.

The principal methodologies used in determining these ratings, including any
additional methodologies and factors that may have been considered, can be found
at www.ambest.com/ratings/methodology.

Founded in 1899, A.M. Best Company is a global full-service credit rating
organization dedicated to serving the financial and health care service
industries, including insurance companies, banks, hospitals and health care
system providers. For more information, visit www.ambest.com.

A.M. Best Co.
Analysts:
Sharon Christiano, 908-439-2200, ext. 5510
sharon.christiano@ambest.com
or
Michelle Baurkot, 908-439-2200, ext. 5507
michelle.baurkot@ambest.com
or
Public Relations:
Jim Peavy, 908-439-2200, ext. 5644
james.peavy@ambest.com
or
Rachelle Morrow, 908-439-2200, ext. 5378
rachelle.morrow@ambest.com

Copyright Business Wire 2009