LONDON: Credit rating agency Standard & Poor’s (S&P) has reaffirmed bpha Limited’s long-term credit rating of A+ on 26 October 2020. The outlook for the rating remains ‘negative’ due to the current economic uncertainty. In their Research Update, S&P have commented that bpha: · benefits from strong economic fundamentals and excellent asset quality · has…
Category: Ratings
Corporate Ratings, Insurance Ratings, S&P, Moody’s, Fitch
Emeco fully repays $142 million March 2022 Notes
SINGAPORE: Emeco Group has repaid US$142 million (A$195 million), representing 100% of the 31 March 2022 notes (2022 Notes) outstanding, a news release said. The repayment of the 2022 Notes was funded from the net proceeds of the recently completed underwritten A$149 million pro rata entitlement offer and existing cash on hand. The note repayment…
Indonesia’s non-life insurance market stable despite a bleak macroeconomic picture
SINGAPORE: Indonesia’s non-life insurance market is well-diversified and underpinned by solid capitalisation, supporting a stable outlook assigned to the segment. A new Best’s Market Segment Report, titled, “Market Segment Outlook: Indonesia Non-Life Insurance,” states that the non-life insurance market’s overall robust return on equity, supported by stable historical underwriting performance and strong balance sheet fundamentals,…
AM Best affirms ratings of GEICO on it’s balance sheet strength
OLDWICK: AM Best has affirmed the Financial Strength Rating (FSR) of A++ (Superior) for the members of Government Employees Group (GEICO) based on its strong operating performance, very favorable business profile and appropriate enterprise risk management (ERM). Am Best also affirmed the Long-Term Issuer Credit Ratings (Long-Term ICR) of “aaa” for the members of Government…
Nigeria’s insurance market offers significant potential despite headwinds
LONDON: Nigeria’s substantial oil and gas reserves, its young and growing population and its position as Africa’s largest economy continue to point to significant development potential for its insurance sector. However, Nigeria has failed to deliver on that potential historically due in part to the volatility of growth in the country’s real gross domestic product…
U.S. property and casualty insurers manage challenging market dynamics amidst Covid19
HOUSTON: Credit rating activity for the U.S. property and casualty insurance industry in the first half of 2020 was mixed, with upgrades modestly outnumbering downgrades, according to a new AM Best report. A new Best’s Special Report, titled, “Mid-Year Rating Changes Mixed as U.S. Property/Casualty Insurers Manage Challenging Market Dynamics,” states that the percentage of…
U.S. life and health insurance sector rating upgrades outnumber downgrades in first-half of 2020
HOUSTON: The U.S. life and health insurance industry saw more credit rating upgrades than downgrades in first-half 2020, driven primarily by improved levels of risk-adjusted capitalization. However, according to a new AM Best special report, negative rating actions could increase in the second half of the year as the COVID-19 pandemic negatively impacts companies’ sales,…
COVID-19 highlights weaknesses in insurers’ enterprise risk management
LONDON: Reinsurance, and to some extent, insurance, has thrived on globalisation with limited barriers to entry. With this has come an increasing interconnectivity of risks between markets and participants, and the consequences of a higher risk of contagion between insurance and other sectors. As these risks have become intertwined in increasingly complex relationships, insurers cannot…
Fitch takes rating action on four Indian NBFIs following pandemic
SINGAPORE: Fitch Ratings has taken rating action on the Long-Term Issuer Default Ratings (IDR) of four Indian non-bank financial institutions (NBFI) in light of the companies’ performance amid the coronavirus pandemic. The rating actions are as follows: · IIFL Finance Limited ‘B+’ rating maintained on Rating Watch Negative (RWN) · Manappuram Finance Limited (MFIN), affirmed at ‘BB-‘;…
Outlook for Catholic Order of Foresters (COF) revised to negative from stable
LONDON: AM Best has revised the outlooks to negative from stable for Catholic Order of Foresters (COF) due to declining trend of operating performance, where operating losses have been reported over the past two years and through the second quarter of 2020. AM Best affirmed the Financial Strength Rating of A- (Excellent) and the Long-Term…
Fitch affirms Peru LNG at BB-; assigns negative outlook
CHICAGO: Fitch Ratings has affirmed Peru LNG S.R.L’s (PLNG) Long-Term Foreign and Local Currency Issuer Default Ratings (IDRs) at ‘BB-‘. The Rating Watch Negative has been removed, and a Negative Outlook has been assigned. The rating also includes PLNG’s USD940 million senior unsecured notes due 2030. PLNG’s Ratings and Negative Outlook reflects weaker operational performance…
COVID-19 taking its toll on Canada’s economy and insurance industry
OLDWICK: Canada’s property/casualty insurance industry thus far has fared better than their life counterparts amid the volatile economic and market dynamics created by the COVID-19 pandemic, according to a AM Best report. In its Best’s Market Segment Report, titled, “COVID-19 Taking Its Toll on Canada’s Economy and Insurance Industry,” AM Best states that the country’s…