AM Best Sees Resilient Asia Pacific Insurance Sector

KUALA LUMPUR, Oct 30 (Bernama) -- Global credit rating agency, AM Best has published its analysis of 17 insurance markets in Asia Pacific, assessing the economic, political and financial system risks in each, to coincide with the Singapore International Reinsurance Conference.

AM Best’s Singapore operations managing director and co-chief executive officer, Rob Curtis said geopolitical and trade realignment is reshaping how risk is priced and transferred, natural catastrophes continue to test underwriting and reinsurance capacity, and new risk-based capital rules are raising the bar for capital management.

“Overall, the Asia Pacific insurance industry continues to demonstrate strong resilience through ample capital buffers, disciplined underwriting and solid economic growth engines,” he said in a statement.

The report also covers regulatory developments and natural catastrophe and climate risks in each market and benchmarks AM Best-rated companies, including reinsurers, mutual insurers and captive insurers.

AM Best said country risk is factored into its ratings on a case-by-case basis, as it can affect an insurer’s ability to meet its financial obligations.

The report also includes an overview of AM Best’s assessments of delegated underwriting firms, such as managing general agents and coverholders.

The credit rating agency will hold its annual insurance market briefing for conference delegates at the event on Nov 3.

-- BERNAMA