Karachi: JCR-VIS Credit Rating Company Limited has reaffirmed the Insurer Financial Strength (IFS) Rating of Jubilee Life Insurance Company Ltd – (JLI) (formerly New Jubilee Life Insurance Company Limited) at ‘AA-’ (Double A Minus). Outlook on the assigned rating is Stable.
The rating derives strength from JLI’s affiliation with the Aga Khan Fund for Economic Development (AKFED). Moreover, franchise value of the company is also considered strong as evident from its growing and sizeable market share in the gross premium of the life insurance industry.
The company benefits from the widespread distribution network for bancassurance business, particularly of Habib Bank Limited, and also developing new relationships with other major banks. Alongside, JLI plans to continue focus on further developing its own sales force as an important source of business generation. In this area, the company is focusing on improving productivity indicators.
Individual life insurance, largely comprising unit linked policies, has been the major contributor to growth. Despite the pace of increase in individual life business, the company has maintained persistency ratio of individual life business.
Performance of all funds managed by the company has remained competitive. The company has maintained a conservative outlook, with exposure mainly built in short term government securities, representing limited exposure to credit and interest rate risks.
With growth in equity base, operating and financial leverage have trended downwards. Overall capitalization levels are sound with the ratings reflecting very high capacity to meet policyholders’ liabilities.
For more information, contact:
Mr. Javed Callea
JCR-VIS Credit Rating Company Limited
Tel: +9221 35311861 (10 lines) (Ext: 501)
Fax: +9221 35311872-3
E mail: firstname.lastname@example.org