Moody's rates W. R. Berkley notes Baa2

Moody's Investors Service said it assigned a Baa2 rating to $300 million of senior unsecured notes due 2019 to be issued by W. R. Berkley Corp. The outlook is stable.

The net proceeds are expected to be used for general corporate purposes, including the repayment of certain debt.

According to Moody's, the ratings reflect the company's strong franchise within the specialty commercial insurance segment, its diversified revenue streams, disciplined approach to underwriting, and high quality investment portfolio.

Somewhat offsetting these positive factors are the company's exposure to long tail and potentially volatile lines of business such as excess workers' compensation and reinsurance as well as somewhat higher gross and net operating and financial leverage relative to many similarly rated peers, the agency said.

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