AM Best confirms Labuan Re’s rating

AM Best has confirmed the (A-) soundness and (a-) credit ratings attributed to Labuan Re with a stable outlook. These ratings reflect an improvement in capitalization and profitability. Underwriting performance and portfolio balance are also commendable.
The cumbersome task to dispose of non- profitable international affairs has resulted in a modest growth of the written premiums in 2009 and 2010 and in a slight improvement in the loss ratio.
The portfolio comprises 24% of business generating from Malaysia, 40% from the four syndicates at Lloyd's and 36% from international markets. Lloyd's provides Labuan Re with a significant diversification of its Asian risks.