AM Best has affirmed the financial strength ratings of Munich Re.
The ratings agency revealed that the company's superior business position in the global reinsurance market had improved its financial strength.
It also highlighted a strong underwriting performance.
However, in outlining its assessment of the reinsurer, AM Best said its overall performance was "unsatisfactory".
AM Best also raised concerns over Munich Re's risk adjusted capitalisation which it said may "further deteriorate as a consequence of continued weak equity markets".
An AM Best statement revealed: "In addition, AM Best sees further potential for adverse developments in respect of asbestos and environmental related claims."
