MOODY’S CHANGES OUTLOOK TO POSITIVE FOR ARGENTINE INSURERS

Moody’s has changed the outlook on six Argentine insurers to positive following a similar revision to Argentina’s sovereign rating late last month. Caja de Seguros, La Segunda ART, La Segunda Compania de Seguros de Personas, La Segunda Coop. Ltda. de Seguros Generales, Provincia Seguros and San Cristóbal Sociedad Mutual de Seguros Generales have all been handed a positive outlook as a result of the change. Moody’s said the positive outlooks reflect the insurers’ relatively high sovereign investment exposure, meaning an upgrade of the country's sovereign bond's rating would benefit the companies' financial fundamentals. In addition, Ace Seguros’ ratings have been placed on review for upgrade as a result of a likely improvement in its credit fundamentals as a result of its parent company’s acquisition of Chubb, which is expected to close in the first quarter of next year. The rating agency said Ace Seguros' credit profile is also sensitive to Argentina's positive outlook.