Malayan Insurance maintains good financial ratings


The Yuchengco Group’s Malayan Insurance Co. Inc. has maintained its Financial Strength Rating of B++ (Good) from A. M. Best.

The firm reported that it also retained the Long-Term Issuer Credit Rating of “bbb” (Good), and Philippines National Scale Rating (NSR) of aa+.PH (Superior) for 2023.

A.M. Best, the global authority on rating insurance companies, also maintained the non-life insurer’s rating outlook as “stable.” 

The rating agency measures and accounts for the creditworthiness, stability, and promptness in paying claims, debts, and other financial obligations of over 16,000 insurance companies worldwide. 

In a statement, A.M. confirmed Malayan Insurance’s strong balance sheet, as well as its adequate operating performance, neutral business profile, and appropriate enterprise risk management.

The ratings reflect the company’s financial solvency, claims-paying ability, and ability to meet debt obligations. 

At the same time, its NSR ranking indicates the capacity to address ongoing financial obligations relative to other entities in the Philippines.

The international institution determined that Malayan Insurance improved its risk-adjusted capitalization in 2023, while ongoing reinsurance claims settlements further reduced the company’s exposure to credit risk.

Although natural catastrophes and significant loss events affected its core commercial lines, the rating agency said that motor business continued to bolster underwriting results. “Investment income drove Malayan’s overall earnings,” it added.

Malayan Insurance President and CEO Paolo Y. Abaya said that the latest A.M. Best credit ratings demonstrate Malayan's continuous efforts towards becoming a beacon of trust in providing financial solutions for millions of Filipinos.

“Despite the current economic landscape, we remain vigilant in ensuring that we can support the needs of our clients in any situation,” Abaya added.

Established in 1930, Malayan Insurance is one of the most trusted non-life insurance companies in the Philippines, offering a wide range of protection products for home, travel, personal accident, motorcar, marine, and motorcycle insurance.