LONDON--(BUSINESS WIRE)--A.M. Best has revised the outlooks to positive from stable and affirmed the Financial Strength Rating of A- (Excellent) and the Long-Term Issuer Credit Rating (Long-Term ICR) “a-” of International General Insurance Co. Ltd. (IGI) (Bermuda) and International General Insurance Company (UK) Limited (IGIUK) (United Kingdom). A.M. Best also has revised the outlook to positive from stable and affirmed the Long-Term ICR of “bbb-” of International General Insurance Holdings Limited (IGIH) (United Arab Emirates).
The revised outlooks reflect IGI’s consistent record of very strong operating performance and the continuous improvement in its enterprise risk management framework. IGI’s very strong operating performance is demonstrated by a five-year average return on capital and surplus of 12.6%, and has been driven by strong technical performance and stable investment income. IGI has shown commitment to prudent risk selection with a focus on profitability over top-line growth. When necessary, remedial action is taken on under-performing business segments to ensure future technical performance remains healthy.
The Credit Ratings (ratings) of IGI reflects its excellent risk-adjusted capitalisation and diversified business profile. Risk-adjusted capitalisation is supported by moderate underwriting leverage, a conservative investment portfolio and a reinsurance panel of good credit quality. A.M. Best expects IGI to continue to manage its capital position at an excellent level, with retained earnings adequately matching any additional capital requirements from business growth over the medium term. Key management decisions will be supported by IGI’s recent advancements in its capital modelling and stress testing capabilities. IGI continues to diversify its business through the introduction of new products whilst expanding its operating platforms worldwide. This allows the company to access risks across a broad geographic spread.
The ratings of IGIUK reflect its strategic importance to IGI. IGIUK is fundamental to IGI’s overall strategy, is integrated with the group through shared management functions and an internal reinsurance programme, and its financial solvency is explicitly guaranteed by IGI. IGIH is the ultimate holding company of the group.
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