Rating & Solvency

Insurance (Prudential Supervision) Act 2010

MARAC Insurance Limited has been assigned an Insurer Financial Strength rating of BBB+ (Outlook Stable) by Fitch Ratings.

A summary of the rating scale is:

Secure Range Vulnerable Range
AAA (Exceptionally Strong) BB (Moderately Weak)
AA (Very Strong) CCC (Very Weak)
A (Strong) CC (Extremely Weak)
BBB (Good) C (Distressed)

"+" or "-" may be appended to a rating to indicate the relative position of a credit within the rating category.

MARAC Insurance Limited Solvency Margin

The Insurance (Prudential Supervision) Act 2010 requires life insurers such as MARAC Insurance Limited to hold a minimum amount of capital. Having a solvency margin above zero means an insurer holds more than the minimum amount of capital. The following table shows a breakdown of MARAC Insurance Limited’s solvency margins as at 31 December 2018.

  Life (Statutory fund)
$000
Non-life
$000
Total
$000
Unaudited 31 December 2018  
Actual Solvency Capital 2,863 2,830 5,693
Minimum Solvency Capital* 2,514 2,486 5,000
Solvency Margin 349 344 693
Solvency Ratio 114% 114% 114%

* An aggregate minimum of $5m applies to all companies writing life insurance.