Pakistan Credit Rating Agency Limited maintains Insurer Financial Strength rating of Alfalah Insurance

Lahore, December 01, 2015 (PPI-OT):The Pakistan Credit Rating Agency (PACRA) has maintained the Insurer Financial Strength (IFS) rating of Alfalah Insurance Company Limited (AFIC) at “A+” (Single A plus). The rating denotes strong capacity of the company to meet policyholder and contractual obligations.

The rating recognizes sustained execution of the company’s business strategy leading to build up of non-captive business volumes, while keeping overall underwriting performance intact. The rating takes comfort from refinement in the monitoring and performance evaluation of the core business in a wholesome manner. This, along with the company’s conservative stance, in the form of low risk retention, continues yielding profitability.

The company intends to fortify its position with innovative products while diversifying its business. The rating recognizes AFIC’s uptick in financial profile, emanating from i) well managed insurance assets/liabilities structure, and ii) growing investment book that contributes a sizable income stream. AFIC’s association with Abu Dhabi group provides support to the company mainly in the form of captive business, adding stability to its revenue stream.

The rating is dependent on the company’s ability to fortify its position in the competitive landscape, while upholding the underwriting performance. Any deviation from the projected path may have negative implication.

For more information, contact:
Hammad Rashid
Analyst
The Pakistan Credit Rating Agency Limited (PACRA)
Awami Complex, FB1, Usman Block New Garden Town,
Lahore – Pakistan
Tel: +9242 586 9504 -6
Fax: +9242 583 0425
Email: hammad.rashid@pacra.com
Web: www.pacra.com