After having discussions with
While Bloomberg noted that the discussions with Sun Life may not result in a deal, it said the talks highlight the pressure upon The Hartford, hinting at the possibility that the 199-year-old company may be broken up.
On March 3, Standard & Poor's lowered The Hartford's rating to A from A+ for both the property/casualty and life operations, as well as its credit rating from BBB+ to BBB, which is still in the "adequate" range.
The Hartford maintains that it's still well-capitalized, and despite the numerous ratings downgrades, its credit rating is still in the "adequate" range. The financial health ratings of subsidiaries are still in the A or "strong" range, despite also being dropped last week from A+.
Sun Life also is dealing with ratings downgrades of its own, having its debt rating reduced from AA- from A+ last Friday by S&P, Bloomberg reported. The ratings company also listed Sun Life as having a "negative outlook."
This downgrade of Sun Life comes a week after A.M. Best lowered its credit rating to A from AA-.
At press time, INN was awaiting verification of the news from The Hartford.