SFA Research Corner: Private Ratings in Focus as Private Credit Market Grows

Private ratings—also known as private letter ratings (PLRs) or credit estimates—are gaining traction as insurers ramp up exposure to private credit. Used primarily for privately placed securities, PLRs accounted for 42% of NAIC-reviewed filings in 2024, up from 25% in 2023. Recently addressed by both NAIC and SEC, PLRs are becoming a focal point in the evolving regulatory landscape.