Affirming the credit rating (A3) with Positive outlook indicates the Company's financial strength and high ability to meet its financial obligations.
The affirmation of Al-Ahleia’s A3 IFSR reflects its strong market position in terms of direct premiums written, product and geographic diversification, solid capital adequacy with well-managed risk exposures, and strong financial performance and profitability.
Positive
Moody’s Ratings (Moody's) has today affirmed the A3 insurance financial strength rating (IFSR) of Al Ahleia Insurance Co. (S.A.K.P.) (Al Ahleia), the outlook remains positive. Al Ahleia is a leading insurance group in Kuwait focused on life, health and property and casualty (P&C) insurance, as well as reinsurance through its subsidiary Kuwait Reinsurance Co., which operates in a number of markets internationally.
The affirmation of Al Ahleia's A3 IFSR is attributed to the following factors:
(i) Strong market position as one of the top three players in the Kuwaiti insurance market in terms of direct premiums written,
(ii) Product and geographic diversification derived through its subsidiary Kuwait Re's growing business,
(iii) Solid capital adequacy with well-managed risk exposures, and
(iv) Strong financial performance and profitability.
These strengths are partially offset by (i) the more modest scale of the group’s reinsurance business relative to many other international reinsurers, and (ii) limited geographic diversification of its P&C insurance business which increases its exposure to high competition in the relatively small domestic market.
The affirmation also reflects our expectation that Al Ahleia’s credit profile will remain supported by its strong capital, liquidity buffers and risk management, positioning the group well to withstand financial pressures from the Middle East conflict.
The positive outlook reflects the potential for Al Ahleia to further strengthen its market position and geographic diversification, supported by its subsidiary Kuwait Re's well-established franchise and growth in international reinsurance markets. It also reflects the group's good underwriting discipline, which has supported steady improvements in operating profitability, and its enhanced asset quality, with a reduced level of high-risk invested assets.
The issuer of this disclosure bears full responsibility for the soundness, accuracy, and completeness of the information contained therein. The issuer acknowledges that it has assumed Care of a Prudent Person to avoid any misleading, false, or incomplete information. The Capital Markets Authority and Boursa Kuwait Securities Exchange shall have no liability whatsoever for the contents of this disclosure.This disclaimer applies to any damages incurred by any Person as a result of the publication of this disclosure, permitting its dissemination through their electronic systems or websites, or its use in any other manner.