KUALA LUMPUR, Sept 30 (Bernama) -- Global credit rating agency, AM Best has assigned a financial strength rating of B++ (Good) and a long-term issuer credit rating of “bbb+” (Good) to Beibu Gulf Property & Casualty Insurance Company Ltd (Beibu Gulf Insurance).
The outlook assigned to these credit ratings (ratings) is stable, reflecting the company’s balance sheet strength, which AM Best assesses as strong, as well as its adequate operating performance, neutral business profile and appropriate enterprise risk management.
Headquartered in Guangxi province, China, Beibu Gulf Insurance was established in 2013 through a joint partnership comprising 10 state-owned enterprise shareholders and three private sector investors, according to AM Best in a statement.
Its ultimate controlling shareholder, Guangxi Investment Group Co Ltd, a provincial-level state-owned capital investment company in Guangxi, holds a 29.73 per cent equity stake through its subsidiaries.
Despite being a small-to-medium-sized non-life insurer in China, Beibu Gulf Insurance holds a prominent position in Guangxi province, capturing nine per cent of the local market share by premium income in 2025. It maintains a diversified product mix, with motor insurance making up nearly half of its gross written premiums.
Leveraging strong relationships between its shareholders and local governments, Beibu Gulf Insurance gains access to business opportunities in policy-driven agricultural insurance and has continued to expand its liability lines in recent years.
Beibu Gulf Insurance’s strong balance sheet strength assessment is underpinned by its strongest level of risk-adjusted capitalisation as at year-end 2025, as measured by Best’s Capital Adequacy Ratio, supported by organic capital accumulation and controlled expansion in underwriting and investment risks.
After posting two years of net losses, Beibu Gulf Insurance returned to profitability in 2023 and sustained momentum to deliver mid-single-digit return on equity in both 2024 and 2025.
AM Best said the company maintains a well-diversified and liquid investment book, dominated by bonds, fixed-income wealth management instruments and cash. The investment portfolio generated a low single-digit investment return, which was above the average level of the domestic non-life industry in 2025.
-- BERNAMA
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