Malayan Insurance Co. Inc. (Malayan Insurance) has maintained its AM Best financial strength rating of B++ (Good) and the long-term issuer credit rating of “bbb+” (Good) this 2022.
The Yuchengco-led insurance company also kept its “stable” credit ratings outlook despite the pandemic’s continuous impact on the Philippine economy.
“These ratings reflect Malayan’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,” it said.
The ratings emphasized Malayan’s financial solvency and underscored its claims-paying ability and capacity to meet debt obligations.
Malayan Insurance president and chief executive officer Paolo Y. Abaya said that the recent credit ratings were a testament of its stability and reliability.
“Aside from providing relevant insurance products, our organization remains robust and resilient so that we are always prepared to secure the lives and assets of our countrymen,” Abaya added.
Known as a global authority for rating insurance companies, AM Best also noted that the non-life insurer’s risk-adjusted capitalization bolstered its balance sheet strength, and forecasted it to stay at the strongest level over the medium term as measured by Best’s capital adequacy ratio (BCAR).
The company’s overall underwriting performance was mainly driven by its automotive insurance line. While investment income remained the main contributor to its overall earnings.
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Founded in 1930, Malayan Insurance is a member of the Yuchengco Group of Companies, one of the largest conglomerates in the Philippines.