Mayfair Insurance Company Limited

Image placeholder
Mayfair Insurance Company Limited (2021-09)
  • Mayfair Insurance Company Limited
  • Year : Sep 2021
3 Tokens
USD 300.00
Summary

Mayfair exhibits high levels of risk adjusted capitalisation. The entity sustained these levels of capital adequacy over the review period, driven by consistent internal capital generation and conservative dividend distributions. As such, the GCR Capital adequacy ratio (“GCR CAR”) registered at 2.4x (FY19: 2.3x) while the statutory CAR equated to 255% (FY19: 245%). Going forward, risk adjusted capitalisation is expected to remain above 2.3x, with expectations of the entity’s ability to absorb unfavourable risk deviations remaining at similar strengths.

Additional Information

The Stable Outlook reflects expectations that the credit profile of Mayfair will be maintained. In this respect, the GCR CAR is projected to register between 2.3x - 2.6x over the medium-term while the underwriting margin may measure above 11% over the corresponding period. Positive rating action may follow sustained improvements in liquidity or capitalisation above expectations (registering a liquidity coverage and GCR CAR of above 1.5x and 2.7x respectively, and a turnaround in underwriting performance at gross level resulting from a favourable claim experience, leading to a reduction in the high claim recoveries from reinsurance counterparties, as the investment income improvements exhibited are sustained.

Related Publication

UAP Kenya Insurance Company Limited (2016-09)

A Credit Rating report is a research report providing detailed analysis utilised by GCR in the accordance of a Credit Rating.

Kenya Short Term Insurance Industry Bulletin

This is the fourth Kenya Short Term Insurance Industry Bulletin from Global Credit Ratings Co. (“GCR”), covering the Kenyan short term...

Rating Securitisation Transactions Involving Intermediate SPVs

This report explains GCR’s approach to the risks related to each of these SPVs to rate the debt issued by the Issuing SPV. Please note that t...

Available Purchase Options: