Analyst
Waqas Ahmad
waqas.ahmad@pacra.com
+92-42-35869504
www.pacra.com
Applicable Criteria
Related Research
PACRA Harmonizes IFS Rating of Adamjee Life Assurance Company Limited
Rating Type | IFS | |
Current (31-Mar-22 ) |
Previous (29-Jun-21 ) |
|
Action | Harmonize | Maintain |
IFS Rating | A++ (ifs) | A+ |
Outlook | Stable | Stable |
Rating Watch | - | - |
Insurer Financial Strength (IFS) rating is an independent opinion on the relative “capacity of an insurance company to meet policyholder and contract obligations”. To facilitate insurance companies and users of IFS ratings, PACRA has modified the IFS rating scale. The primary objective behind this modification was to: a) Create distinction in symbols and definitions of IFS Ratings and Credit Ratings; previously same symbols were being used for both type of ratings. Now IFS symbols are exclusive for IFS ratings b) Eliminate ambiguities in terms of “Rating Category” and “Notch”; this has now been achieved in the modified scale, which will be helpful in understanding the meaning and connotation of each rating category and notch, c) Update certain definitions for more clarity.
This is expected to eliminate any overlap or ambiguity regarding rating categories and notches; thus, facilitating all stakeholders. The modified scale is applicable for all outstanding IFS ratings including “Adamjee Life Assurance Company Limited”.
About
the Entity
Adamjee Life Assurance Company Limited (ALAC) was incorporated in Pakistan on 4 August 2008 as a public unlisted company and started its operations from 24 April 2009. Adamjee Life is the wholly owned subsidiary of Adamjee General Insurance. The Company acheived its listing status on 3rd of March, 2022. The branch network comprises 60 branches mainly concentrated in Punjab and Sindh geographically.
The company’s BoD comprises seven members, including the CEO – Mr. Umer Mansha. AICL has majority representation on the board is from Adamjee General Insurance. Five out of seven directors from Adamjee General Insurance and two non-executive directors.