AM Best Affirms Credit Ratings of Aseguradora Agricola Comercial, S.A.

MEXICO CITY--(BUSINESS WIRE)--AM Best has affirmed the Financial Strength Rating of B++ (Good) and the Long-Term Issuer Credit Rating of “bbb+” (Good) of Aseguradora Agricola Comercial, S.A. (ACSA) (El Salvador). The outlook of these Credit Ratings (ratings) is stable.

The ratings reflect ACSA’s balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, neutral business profile and appropriate enterprise risk management (ERM).

The stable outlooks reflect AM Best’s expectation that the company’s rating fundamentals will remain unchanged over the intermediate term, including its risk-adjusted capitalization at the strongest level, as measured by Best’s Capital Adequacy Ratio (BCAR), and adequate operating performance supported by prudent underwriting practices and consistent investment returns.

ACSA was founded in 1973 and is a leading insurance company in El Salvador. The company underwrites non-life and life businesses, with its portfolio being concentrated primarily in fire and allied lines of business. In 2024, its market share was 13%.

ACSA’s balance sheet strength assessment of very strong reflects its stability and constantly growing capital base, despite significant capital requirements driven by exposure to local investments and a yearly dividend payment equal to more than half of the year’s net income. ACSA’s balance sheet is protected further by responsible asset-liability management and a solid reinsurance program composed of highly rated reinsurance companies.

AM Best assesses ACSA’s operating performance as adequate given the company’s record of positive bottom-line results, as reflected by a return on assets and return on equity of 5% and 12%, respectively, as well as a combined ratio of 94% in 2024. ACSA has defined policies and procedures that are well-adhered to its risk tolerances, and it is performing corporate-level enhancements, which are attached to its ERM practices, all due to the company’s investment in technology and professional development.

As of June 2025, ACSA continues to be positioned as the fourth largest insurance company in El Salvador in business volume, with total premium of USD 66.2 million, and the third largest in net income with USD 4.8 million.

Positive rating actions could occur if ACSA’s operating performance steadily improves in the medium term, while the company maintains prudent capital management. Conversely, negative rating actions could take place if there are shortfalls in implementation of the company’s strategy, resulting in a weakening of its operating performance or balance sheet strength.

This press release relates to Credit Ratings that have been published on AM Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best’s Credit Ratings. For information on the proper use of Best’s Credit Ratings, Best’s Performance Assessments, Best’s Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best’s Ratings & Assessments.

AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City.

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