For the 2018/2019 year, NNAC has an ‘A’ rating for claims-paying ability, with a ‘negative’ outlook, according to Global Credit Ratings (GCR).
According to the GCR report, the rating was based upon NNAC’s sound liquidity metrics, its stable investment returns and its overall profitability. However, our negative outlook was driven by the constrained economic conditions we are playing in.
In response Executive Director Kalim Rajab said: “We see the reaffirmation of our ‘A’ rating as a vote of confidence in the stability of our business as well as in our management. The rating places NNAC at the top-end of its peer grouping which is something we are keen to ensure continues. At the end of the day, a company with high claims paying ability and above average protection factors in place stands a much better chance of protecting policyholders.”
He added that he expects NNAC’s top-line premium income to be in the region of R1,2 bn this year. NNAC writes all major classes of short term insurance risk, focusing on retail, corporate, commercial, engineering and marine activity.