HONG KONG — AM Best has placed under review with positive implications the Financial Strength Rating (FSR) of A+ (Superior) and the Long-Term Issuer Credit Ratings (Long-Term ICR) of “aa-” (Superior) of Sompo Japan Insurance Inc. (SJ) (Japan) and its subsidiaries. Concurrently, AM Best has placed under review with positive implications the Long-Term ICR of “a-” (Excellent) of Sompo International Holdings Ltd. (SIH) (Pembroke, Bermuda). In addition, AM Best has placed under review with positive implications the Long-Term Issue Credit Rating of “a-” (Excellent) on $335 million 7% senior unsecured notes due by 2034, which is guaranteed by SIH.

These Credit Rating (rating) actions follow the announcement on 27 August 2025, that SOMPO Holdings, Inc., via a wholly owned subsidiary of SIH, has entered into a definitive merger agreement to acquire 100% of the issued Class A ordinary shares of Aspen Insurance Holdings Limited (Aspen) for approximately USD 3.5 billion in an all-cash transaction. Upon completion, Aspen will become a subsidiary of SIH, the intermediate holding company under SJ.

The under review with positive implications status reflects the potential material benefits in Sompo group’s business profile following the acquisition of Aspen, which could accelerate the geographic diversification and lead to a significant enhancement in its presence in the global property/casualty (re)insurance market. Aspen is a global (re)insurance player with a diversified underwriting portfolio and expertise in specialty lines.

The transaction is anticipated to close in the first half of 2026, subject to regulatory approvals. The ratings will remain under review with positive implications pending the completion of the transaction and until AM Best can evaluate fully the impact on SJ’s rating fundamentals.

The FSR of A+ (Superior) and the Long-Term ICRs of “aa-” (Superior) have been placed under review with positive implications for Sompo Japan Insurance Inc. and the following subsidiaries:

• Endurance Assurance Corporation
• Endurance Specialty Insurance Limited
• Endurance Worldwide Insurance Limited
• Endurance American Specialty Insurance Company
• Endurance American Insurance Company
• Endurance Risk Solutions Assurance Co.
• American Agri-Business Insurance Company
• Sompo America Insurance Company
• Sompo America Fire & Marine Insurance Company
• Lexon Insurance Company
• Bond Safeguard Insurance Company
• SI Insurance (Europe), SA