Assured Guaranty in the European Market

Assured Guaranty is the only financial guarantee insurance company that has remained active in Europe, where it has maintained a continuous presence since the mid-1980s. 

Assured Guaranty (Europe) plc (AGE UK)

Licensed as a U.K. insurance company, AGE UK was organized in 1990 as Financial Security Assurance (U.K.) Ltd. and issued its first financial guarantee in 1994. It was renamed after Assured Guaranty acquired AGE UK’s parent company in 2009. AGE UK insures primarily public finance (including infrastructure) transactions and may insure structured finance transactions as well.

Since 2009, new transactions guaranteed by AGE UK typically are co-guaranteed with a U.S. affiliate. AGE UK is authorized by the U.K. Prudential Regulation Authority and regulated by both the U.K. Prudential Regulation Authority and the U.K. Financial Conduct Authority.

Assured Guaranty (Europe) SA (AGE SA)

Assured Guaranty established Assured Guaranty (Europe) SA (AGE SA) in France in mid-2019 to address the impact of the withdrawal of the United Kingdom (U.K.) from the European Union (E.U.). Through AGE SA, Assured Guaranty will continue to write new business in the E.U. London-based AGE UK, which previously provided financial guarantees in the E.U., will remain the Assured Guaranty platform that writes new business in the U.K. and certain other non-E.U. countries.
 
In addition, AGE is transferring certain of the financial guarantees in its existing portfolio to AGE SA. Upon such transfer, these will become the financial guarantees of AGE SA on the same terms. To the extent the transferred financial guarantees are currently rated by S&P Global Ratings (S&P) or Kroll Bond Rating Agency (KBRA), no change is expected to the S&P or KBRA ratings of the insured obligations that are covered by those financial guarantees, as each of those agencies currently assigns the same rating to both AGE UK and AGE SA. (For additional information, see our ratings page and Company Statement). AGE SA is authorised and regulated by the Autorité de Contrôle Prudentiel et de Résolution.

Legacy Obligations of Former Subsidiaries

In November 2018, Assured Guaranty announced the successful combination of its four international financial guarantee insurance companies. Assured Guaranty (London) plc (AGLN), Assured Guaranty (UK) plc (AGUK) and CIFG Europe SA (CIFG EU), which were previously acquired by AGE UK, were merged with and into AGE UK, with AGE UK as the surviving entity. As a result, all obligations and bonds insured by AGLN, AGUK and CIFG EU are insured obligations of AGE UK.

AGE UK and AGE SA are the sole active underwriters of financial guarantees in the European market.

List of Transactions That Became Direct Obligations of AGE Following the Combination (as of November 2018)

As a result of the combination, obligations originated by the following former companies are all now direct obligations of AGE and are expected to be rated based on AGE UK. 

Assured Guaranty (London) plc
AGLN was originally MBIA UK Insurance Limited, the European operating subsidiary of MBIA Insurance Corporation. It was acquired by AGC in January 2017 and transferred to AGE in June of that year.

Assured Guaranty (UK) plc 
AGUK was a long-time subsidiary of AGC that stopped writing new business in 2010, following Assured Guaranty’s 2009 acquisition of AGE, and has been running off its exposure since then.

CIFG Europe S.A.
CIFG Europe was a French insurance company that was acquired by AGC. in connection with its July 2016 acquisition of CIFG Holding Inc., a French insurance company.

AGE UK GAAP Financial Statements
December 31, 2018 Archive
AGE Solvency and Financial Condition Reports
December 31, 2018 Archive
AGUK Solvency and Financial Condition Reports
December 31, 2017 Archive
CIFG Europe Solvency and Financial Condition Reports
December 31, 2017 Archive
AGLN Solvency and Financial Condition Reports
December 31, 2017 Archive

Contact

  • Nick Proud
  • Senior Managing Director
  • 44 0 20 7562 1910
  • Email