Noting its position as a leading provider to the marine sector, A.M. Best has reaffirmed the ratings for Navigators Insurance Group and its members, all domiciled in New York, N.Y.

The ratings service affirmed the financial strength rating of A (Excellent) and issuer credit ratings of “a+” of Navigators, which is comprised of Navigators Insurance Co. and its subsidiary, Navigators Specialty Insurance Co. The outlook for all ratings is stable.

In addition to its position in marine insurance established through Lloyds and itself, A.M. Best also noted its well diversified book of business, modest net wind storm exposure, solid level of capitalization and operating performance, as well as management’s conservative approach to underwriting and claims management.

Offsetting these positive factors, according to the ratings service, are the group’s entry into relatively new lines of business in recent years and somewhat elevated, although declining, dependence on reinsurance.

A.M. Best said nevertheless, the financial flexibility of Navigators Inc. is sufficient to offset these concerns, with its financial leverage a conservative 15% of debt-to-total tangible capital, with coverage ratios far exceeding the ratings service’s requirements for the current rating level.

The rating outlook anticipates Navigators and Navigators, Inc.’s continued strong earnings performance and strong capitalization, A.M. Best said.

Concurrently, A.M. Best has affirmed the ICR of “bbb+”, the debt rating of “bbb+” on $125 million 7% of senior unsecured notes, due 2016 and the indicative ratings of “bbb-” on preferred securities, “bbb” on subordinated notes and “bbb+” on senior unsecured notes of Navigators’ publicly traded ultimate parent, The Navigators Group.