The ratings of KILICO
reflect its adequate risk-adjusted capital position and the support it receives as a member of ZFS through reinsurance and other management and distribution arrangements.
The stable outlook reflects expectations for KILICO
to generate a more stable earnings performance due to the effect of the consistent profitability of the assumed annuity reinsurance business and the assumption of a normalized equity market.
The ratings on KILICO
remain on CreditWatch negative because they need to be reassessed in light of the company's developing profile," said Standard & Poor's credit analyst Kevin Ahern.
ZFS will retain the KILICO legal entity and certain variable annuity contracts.
The ratings on KILICO were placed on CreditWatch negative because of the belief that the ratings need to be reassessed in light of KILICO's developing profile," said Standard & Poor's credit analyst Kevin Ahern.
will remain a subsidiary of ZFS and will become the primary vehicle for underwriting and managing fixed and variable annuity business for ZFS's affiliated Farmers Group distribution channel.