Lahore, December 06, 2018 (PPI-OT): The rating reflects Jubilee General’s robust risk management framework facilitating the company in sustaining sound underwriting performance. The persistent investment income augers well for the bottom line of the company giving it a strong cushion. The rating recognizes the management’s efforts of penetrating relatively untapped segments, reflected in its diverse premium mix. Jubilee General has sound equity base and sufficient liquidity engendering strong risk absorption capacity.
The ability of key sponsor, Aga Khan Development Network (AKDN), to foster synergies amongst its financial institutions operating in Pakistan – HBL, Jubilee General, and Jubilee Life – and in the group’s different insurance companies across the globe, is also a consideration. The business strategy, going forward, is focused on improving its market position and consequent profitability from core business, which is a challenge given recent results.
The rating is dependent upon sustained competitiveness of the company with improvement in underwriting profitability. Sustaining the market share is crucial with consequent improvement in the liquidity. Meanwhile harnessing of claims management process is essential.
For more information, contact:
Analyst
The Pakistan Credit Rating Agency Limited (PACRA)
Awami Complex, FB1, Usman Block New Garden Town,
Lahore – Pakistan
Tel: +9242 586 9504 -6
Fax: +9242 583 0425
Email: hammad.rashid@pacra.com
Web: www.pacra.com