A.M.BEST assigns credit rating B + for BIC

Hanoi, 15/9/2014 – The world leading credit rating agency A.M.Best has announced the first credit rating of BIDV Insurance Corporation (BIC). According to A.M.Best, BIC’s financial strength rating is B+ (good financial capacity), and issuer credit rating is bbb- (company can maintain the ability to meet their financial obligations). Rating outlooks for both indicators are Stable.

In Vietnam, A.M.Best has assigned credit ratings for Vietnam National Reinsurance Corporation, PVI Insurance Corporation, PVI Reinsurance Joint-stock Corporation and Samsung Vina Insurance Company.
According to A.M.Best, these ratings reflect the strong capitalization capacity of BIC, the support that BIC receives from its biggest shareholder Joint-stock Commercial Bank for Investment and Development of Vietnam (BIDV), positive underwriting results and diversified business portfolio in Indochina region via two joint ventures in Laos (LVI) and Cambodia (CVI).

“BIC continued to strengthen its risk-adjusted capitalization, as measured by Best’s Capital Adequacy Ratio (BCAR). In addition, BIDV supports BIC with the bank brand name, network and customer base for business growth. BIDV also provides resources for BIC’s corporate governance and risk management. Moreover, BIC has a proven track record of favorable operating and underwriting results in the past five years. Also, the company has well-developed business in Laos and Cambodia in support of revenue growth and diversification.” press release by A.M.Best referred.

These ratings are considered to be very good for a Vietnamese non-life insurance enterprise’s first rating, especially during the current difficult economic condition.

Sources: bic.vn; hispanicbusiness.com