Wednesday 13 March 2019

AM Best gives excellent ratings to General Insurance Corporation of India

KUALA LUMPUR, March 8 (Bernama) -- AM Best has affirmed the Financial Strength Rating of A- (excellent) and the Long-Term Issuer Credit Rating of ‘a-’ of General Insurance Corporation of India (GIC Re) in India.
The stable outlook of these credit ratings reflects GIC Re’s balance sheet strength, which AM Best categorised as very strong, as well as its adequate operating performance, favourable business profile and appropriate enterprise risk management (ERM).

The balance sheet strength is supported by its risk-adjusted capitalisation being at the strongest level, a liquid investment portfolio and a retrocession panel of excellent credit quality, according to a statement.
GIC Re benefits from a sizeable capital base, with its capital and surplus standing at INR 523 billion (US$ 8.1 billion) (US$1 = RM 4.09) as of fiscal year-end March 31, 2018, allowing the company to absorb a variety of insurance market stresses.
The favourable business profile assessment reflects the company’s pre-eminent market position in India. GIC Re is the country’s main reinsurer, and holds a significant share of the domestic reinsurance market.
Its ERM is viewed as appropriate, given the current size and complexity of its operations. However, as the operational scale and complexity of its key risks increase, risk management capabilities will have to improve to be viewed as appropriate in the future.
AM Best is a global rating agency and information provider with a unique focus on the insurance industry. For more information, contactwww.ambest.com.
-- BERNAMA

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