An Isle of Man insurance company and its subsidiary have had their Best’s rating affirmed at B+, or very good. Inter-Industry Insurance Company and its wholly owned subsidiary, Insurco Limited, received the news this week. At the same time, AM Best affirmed the credit rating of bbb- of Inter-Industry and assigned the same rating to Insurco. The outlook on all ratings is stable. The ratings are said to reflect its solid overall risk-adjusted capitalisation and strong, but volatile, operating performance. Offsetting factors are the lack of diversification by business line and the absence of outwards reinsurance protection. On a risk-adjusted basis, AM Best believes the firm’s capital position will remain solid during 2006 and 2007 due to expected moderate premium growth and stable, though modest, retained earnings. III operates in speciality chemical and manufactured buildings markets, where it provides commercial general liability and umbrella cover through Insurco.