AM Best Affirms Credit Ratings of Insurance Corporation of Barbados Limited
Benzinga AM Best has affirmed the Financial Strength Rating of B++ (Good) and the Long-Term Issuer Credit Rating of "bbb+" (Good) of Insurance Corporation of Barbados Limited (ICBL) (Barbados). The outlook of these Credit Ratings (ratings) is stable.
The ratings reflect ICBL's balance sheet strength, which AM Best assesses as strongest as well as its adequate operating performance, limited business profile and appropriate enterprise risk management.
ICBL's balance sheet strength is supported by its risk-adjusted capitalization, which is assessed at the strongest level, as measured by Best's Capital Adequacy Ratio (BCAR). AM Best expects this measure to remain at the strongest level. ICBL has produced positive net income, driven by investment and fee income that has offset inconsistent underwriting income. However, a hardening market in Barbados and a series of management cost initiatives provide potential for more consistently profitable underwriting over the near term. ICBL's business profile assessment reflects the company's geographic and product concentration in Barbados. The business profile assessment also recognizes ICBL's market position as one of the leading property/casualty insurers in its domestic market.
