AM Best has upgraded the long-term issuer credit ratings of Munich Re, Swiss Re and their affiliates to aa from aa-.

The ratings agency has also affirmed the reinsurers’ financial strength ratings, both at A+, and removed them from “under review with positive implications”.

Swiss Re’s rating reflects “balance sheet strength… as well as its strong operating performance, very favourable business profile and very strong enterprise risk management”, AM Best says.

It cites similar reasons for Munich Re’s upgrades, noting strength in the German reinsurer’s balance sheet, strong operations and its business profile.