A.M. Best Assigns Ratings to Oman Insurance Company (PSC).OLDWICK, N.J. -- A.M. Best Co. has assigned a financial strength rating of A (Excellent) and an issuer credit rating of "a" to Oman Insurance Company (PSC (Public Service Commission) Same as PUC. ) (OIC "Oh, I see." See digispeak. (chat) OIC - oh, I see. ) (United Arab Emirates United Arab Emirates, federation of sheikhdoms (2005 est. pop. 2,563,000), c.30,000 sq mi (77,700 sq km), SE Arabia, on the Persian Gulf and the Gulf of Oman. ). The outlook assigned to both ratings is stable. The ratings of OIC reflect its strong risk-adjusted capitalisation, excellent underwriting performance and established business profile in the United Arab Emirates (UAE (Uninterruptible Application Error) The name given to a crash in Windows 3.0. In subsequent versions of Windows, a crash was called a "General Protection Fault," "Application Error" or "Illegal Operation." See crash in Windows and abend. ) insurance market. An offsetting factor is OIC's volatile investment performance. A.M. Best believes that OIC's level of risk-adjusted capitalisation is strong and is expected to improve over the next two years, despite any reduction in surplus reserves resulting from the volatility of the UAE stock market, where OIC has considerable investments in domestic securities. It is anticipated that the company will review its investment policy going forward, reducing its fluctuations in investment reserves and thereby creating greater stability for its capital position. Furthermore, OIC has established a leading market position in the UAE with a diversified portfolio for both non-life and life insurance, accounting for 15% of gross market premiums. Moreover, the company is expanding its regional profile by establishing operations in Oman and Qatar. In A.M. Best's view, the company has experienced excellent underwriting results across all lines of business with consistently improving technical profits of approximately AED AED - Automated Engineering Design 170 million (USD USD In currencies, this is the abbreviation for the U.S. Dollar. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. 48 million) in 2007, supported by an excellent combined ratio below 75%. Given the company's exposure to the local equities market and the positive movements last year, OIC's reported pre tax profits were approximately AED 631 million (USD 172 million) in 2007, compared to AED 202 million (USD 55 million) in 2006. Additionally, the company is enhancing its risk controls through the implementation of a fully functional risk management unit. For Best's Ratings Best's rating A rating A.M. Best Co. assigns to insurance companies based on the company's ability to meet its obligations to its policyholders. , an overview of the rating process and rating methodologies, please visit www.ambest.com/ratings. Founded in 1899, A.M. Best Company is a global full-service credit rating organization dedicated to serving the financial and health care service industries, including insurance companies, banks, hospitals and health care system providers. For more information, visit www.ambest.com. |
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