Ratings agency Standard & Poor’s (S&P) has upgraded its counterparty credit and financial strength ratings for Ace Australia to AA- from A+.

The upgrade reflects S&P’s view that the Australian business is a core member of the Ace group and brings the local rating into line with S&P’s global rating for Ace.

In announcing the upgrade, which has a stable outlook, S&P describes Ace Australia’s stand-alone capital adequacy as “robust and supportive of its risks and its core status relative to the group”.

Ace Australia and New Zealand President Giles Ward says the upgrade “reflects our strong local operating results and capital position as well as the depth of the Ace group’s commitment to the Australian market”.

He says after the recent catastrophe losses the upgrade “validates the Ace Australia team’s efforts” and “underlines the fact that we will continue to be there for our clients well into the future”.