HONG KONG -- A.M. Best Co. has affirmed the financial strength rating (FSR) of A- (Excellent) and the issuer credit rating (ICR) of 鈥渁-鈥?of South China Insurance Co., Ltd (South China Insurance) (Taiwan). The outlook for both ratings remains stable.
The ratings reflect South China Insurance鈥檚 well capitalized position, stable investment risk profile and extensive distribution network. A.M. Best also recognizes the company鈥檚 expense control initiative in its key motor portfolio.
South China Insurance鈥檚 risk-based capitalization, as demonstrated by Best鈥檚 Capital Adequacy Ratio (BCAR), is commensurate with its current ratings. The company鈥檚 capital position reflects its manageable net premium leverage ratio and comprehensive reinsurance support. To protect its capital from undue exposures to catastrophic perils, South China Insurance has decided to increase the upper protection limit of its property catastrophe excess of loss treaty in 2010. In A.M. Best鈥檚 view, the company鈥檚 capital rolex fake level will be able to support its anticipated business growth while the growth of its operating surplus will remain moderate in the near term.
South China Insurance utilizes a multiple distribution platform to market its products. For the nine months period to September 2009, business derived from direct sales represented 37% of total premium, followed by brokers (21%) and car dealers (15%). South China Insurance, a wholly owned subsidiary of Hua Nan Financial Holdings Co. Ltd, is supported by its banking affiliate primarily in distributing its personal lines products.
The company maintains good liquidity relative to risks underwritten. As at September 30, 2009, replica rolex cash and fixed income securities accounted for 77% of the invested assets. A.M. Best anticipates the company鈥檚 existing investment strategy to be maintained over the near term.
Partially offsetting these positive rating factors is South China Insurance鈥檚 limited premium growth under the current competitive conditions in the local market. Continued rate deregulation in motor and fire businesses (total accounted for more than 70% of the company鈥檚 book for nine months to September 2009) could lead to a subdued premium Fendi Replica Handbags growth and higher loss ratios going forward. Although A.M. Best believes South China Insurance has an experienced underwriting team in place, its underwriting margin will remain under pressure.
For Best鈥檚 Credit Ratings, an overview of the rating process and rating methodologies, please visit .
The principal methodologies used in determining these ratings, including any additional methodologies and factors that may have been considered, can be found at .
Founded in 1899, A.M. Best Company is a global full-service credit rating organization dedicated to serving the financial and health care service industries, including insurance companies, banks, hospitals and health care system providers. For more information, visit .
Other articles:
http://www.zhoos.com/Teen-robbers-get--months.html
http://mywatches.lah.cc/2010/03/02/clinton-urges-open-internet-ac/
http://www.yuzhou.net.cn/Blog/View/?25702
http://shenyong.skpay.net/Blog/View/?321
http://www.sageep.com/Top-courts-mercy-move.html