AM Best upgrades Milli Re's rating

AM Best has upgraded Milli Re’s financial strength rating from “C+” to “C++” (Marginal), and its long-term credit rating from “b-” to “b” (Marginal).

The outlook for the financial strength rating remains stable, while the outlook for the credit rating has been revised from stable to positive.

These upgrades reflect an improvement in the Turkish reinsurer’s consolidated balance sheet fundamentals, supported by stronger risk-adjusted capitalization and solid profit distribution.

Over the 2020-2024 period, the company’s weighted average combined ratios, consolidated and non-consolidated, stood at 120% and 157% respectively. These figures were adversely affected by the depreciation of the Turkish lira and rising inflation.