PACRA Maintains IFS Rating of IGI General Insurance Limited

Lahore, February 28, 2020 (PPI-OT): The rating of IGI General Insurance Limited draws comfort from the growing business volume under the stewardship of an able team. The Company has witnessed high growth signifying it’s improving position in the industry. The composition of the book is well balanced with almost equal proportion emanating from the direct business. In this, the business relationships of the group also play a pivotal role, whereby a number of multi-national companies obtain insurance coverage from IGI.

Largest growth has been seen in the Motor segment. Improvement in the IT infrastructure is helping the company in bringing efficiency – notably in claims management. Underwriting profits improved with contributions from both premiums side as well as claims. Post de-merger, the parent company, IGI Holdings Limited has injected a sizeable capital into the company.

This is preserved mostly as in the form of liquid investments. The Hold Co has an express mandate to proactively support the company in times of need. The top group resources provide strategic direction and oversight. The assigned rating also takes into account its association with Packages Group and comfort is drawn from its sound governance practices of the group.

The rating remains dependent on the management’s ability to strengthen its market position in a competitive landscape while ensuring underwriting profitability. The liquid investment book need to be preserved and indeed improved in line with the growing business volumes.

For more information, contact:
Analyst,
The Pakistan Credit Rating Agency Limited (PACRA)
Awami Complex, FB1, Usman Block New Garden Town,
Lahore, Pakistan
Tel: +92-42-5869504-6
Fax: +92-42-5830425
Email: hammad.rashid@pacra.com
Website: www.pacra.com