Best’s Special Report: EMEA Benchmarking: Ratings Show Stability Despite Heightened Volatility and Uncertainty
AMSTERDAM–(BUSINESS WIRE)–#insurance–COVID-19, heightened geopolitical tensions, inflation risk, as well as catastrophe losses and climate risk have contributed to a challenging economic environment for AM Best-rated (re)insurers in Europe, the Middle East and Africa (EMEA). Nevertheless, the vast majority have shown resilience, with balance sheets able to withstand shocks.
In a new Best’s Special Report, “EMEA Benchmarking: Ratings Show Stability Despite Heightened Volatility and Uncertainty”, AM Best notes that the vast majority of rating units have stable outlooks, with 13% having a negative outlook, or under review with negative implications status largely due to elevated country risk pressures. In 2021, the majority of upgrades were on highly rated carriers in mature markets that showed improvement in balance sheet strength.
For companies operating in emerging markets, AM Best notes that the main areas of concern for emerging market companies relate to stress testing, and governance and risk culture. At times, companies have demonstrated good risk management structures on paper, but the utilisation of such models generally remains weak and untested.
Therefore, in order for companies to maintain their current assessments, they will need to be more proactive with their risk management practices, according to the report.
To access a complimentary copy of this special report, please visit http://www3.ambest.com/bestweek/purchase.asp?record_code=319021.
AM Best is a global credit rating agency, news publisher and data analytics provider specialising in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.
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Contacts
Konstantin LangowskiSenior Financial Analyst, Analytics+31 20 308 5431konstantin.langowski@ambest.com
Morgane HillebrandtFinancial Analyst, Analytics+31 20 308 5422morgane.hillebrandt@ambest.com
Ben Diaz-CleggSenior Financial Analyst, Analytics+44 20 7397 0293ben.diaz-clegg@ambest.com
Christopher SharkeyManager, Public Relations+1 908 439 2200, ext. 5159christopher.sharkey@ambest.com
Jim PeavyDirector, Communications+1 908 439 2200, ext. 5644james.peavy@ambest.com
