NITF assigned AAA by RAM Ratings
November 8, 2010 01:27 pm
RAM Ratings Lanka has assigned a claims-paying ability rating of AAA to National Insurance Trust Fund (“NITF” or “the Company”); the rating carries a stable outlook. The ratings are firmly supported by the Company’s state ownership and the government related business derived thereof.
Incorporated under the NITF Act No. 28 in 2006, NITF is the only reinsurance company in the country; The Company accounted for 5.61% of total insurance industry assets as at FYE 31-December 2009 (“FY Dec 2009”). It is wholly owned by the state and comes under the purview of the Ministry of Finance and Planning (“MOF”), unlike other insurance companies which are regulated by the Insurance Board of Sri Lanka (“IBSL”).
The rating is firmly supported by business NITF derives from its state ownership, including mandatory reinsurance and the provision of General Insurance to public servants and government bodies. Premiums from this government related business amounted to 91.35% of total GWP in FY Dec 2009. These comprised a health insurance policy called “Agrahara”, parliamentary member cover, migrant worker cover, Strike, Riot, Civil Commotion & Terrorism cover (“SRCC & TR”), and reinsurance.
Incorporated under the NITF Act No. 28 in 2006, NITF is the only reinsurance company in the country; The Company accounted for 5.61% of total insurance industry assets as at FYE 31-December 2009 (“FY Dec 2009”). It is wholly owned by the state and comes under the purview of the Ministry of Finance and Planning (“MOF”), unlike other insurance companies which are regulated by the Insurance Board of Sri Lanka (“IBSL”).
The rating is firmly supported by business NITF derives from its state ownership, including mandatory reinsurance and the provision of General Insurance to public servants and government bodies. Premiums from this government related business amounted to 91.35% of total GWP in FY Dec 2009. These comprised a health insurance policy called “Agrahara”, parliamentary member cover, migrant worker cover, Strike, Riot, Civil Commotion & Terrorism cover (“SRCC & TR”), and reinsurance.
