The cash for the deal was financed by Munich Re from internal resources, the company said, adding that all requisite approvals have now been obtained from the relevant authorities.

A.M. Best Co. commented today that the ratings of Hartford Steam Boiler Group, based in Hartford, Conn., and its members, together known as HSB Group, remain under review with positive implications pending completion of the review of the acquisition.

Best said it expects to complete the review "very shortly."

On Dec. 22, 2008, following the announcement that it would be acquired by Munich Re, Best placed the HSB Group financial strength rating of "A" (Excellent) and issuer credit ratings of "a" under review with positive implications.

Best said the positive implications reflect its view that the acquisition by Munich Re would likely have a favorable outcome relative to HSB Group's ratings.

Hartford Steam Boiler Inspection and Insurance Company is the core of HSB Group, one of the largest insurance and inspection companies specializing in engineering risks in the U.S.

HSB is a leading worldwide provider of equipment breakdown and engineered lines of insurance, other specialty coverages, and inspection, certification and engineering consulting services.

The HSB Group's equity capital at Dec. 31, 2008 amounted to around $586 million, and its gross written premium income for 2008 totaled $930 million, Munich Re said.

"With the acquisition of the HSB Group, we are continuing as planned to expand our position in the U.S. in specialty insurance niche segments. This is part of our strategy to grow profitably in the U.S., the world's most important insurance market," Peter R?der, member of the board of management responsible for business in North America, said in a statement.

Tony Kuczinski, chief executive officer of Munich Re America, said HSB will be managed with Munich Re America as a stand-alone business.

Approximately 50 percent of HSB's 2,400 employees are engineers and technical inspectors supporting clients in managing risks and helping them improve the reliability and efficiency of their technical plants and equipment.