Throughout the recent financial crisis, AEGON’s aim has been to maintain excess capital over and above the amount required to maintain an AA financial strength rating. This remains the company’s objective, and plays an important role i
AEGON maintained strong financial strength ratings from leading international rating agencies for its operating subsidiaries and a strong credit rating for the holding.
Most important ratings
(April 3, 2012)
| Agency |
AEGON N.V. |
AEGON USA |
AEGON
The Netherlands |
AEGON UK |
| Standard & Poor’s |
A-
Outlook: stable
|
AA-
Outlook: stable |
AA-
Outlook:
stable |
A+
Outlook: negative |
| Moody’s |
A3
Outlook: stable |
A1
Outlook: stable |
n.r |
n.r. |
| Fitch |
A-
Outlook: stable |
AA-
Outlook: stable |
n.r |
n.r. |
A rating downgrade of AEGON or any of its rated insurance subsidiaries may, among other things, materially increase the number of policy surrenders and withdrawals by policyholders of cash values from their policies. The outcome of this may be cash payments requiring the sale of invested assets, including illiquid assets, at a price that may result in realized investment losses. Such cash payments to policyholders would result in a decrease in total invested assets as well as a decrease in net income. Among other things, early withdrawals may also cause AEGON to accelerate amortization of policy acquisition costs, reducing net income.
In addition, a rating downgrade may adversely affect relationships with broker-dealers, banks, agents, wholesalers and other distributors of AEGON’s products and services. This may negatively impact new sales and adversely affect the Group’s ability to compete. This would have a materially adverse effect on AEGON’s business, results of operations and financial condition.