AM Best has removed the review of National Life & General Insurance Company (NLGIC) with positive implications. It has also upgraded the Omani insurer's Financial Strength Rating to A- (Excellent) from B++ (Good) and the Long-Term Issuer Credit Rating to "a-" (Excellent) from "bbb+" (Good). The outlook is stable.
AM Best's decision follows the completion of NLGIC's acquisition of 100% of RSA Middle East, a subsidiary of the UK-based Royal & Sun Alliance Insurance (RSA) group. This transaction would allow the Omani insurance company [4] to reinforce its business profile, diversify its products as well as consolidate its existing markets.
The rating aslo reflects NLGIC’s balance sheet strength, its strong operating performance, neutral business profile and appropriate enterprise risk management.
Over the last five years (2017-2021), NLGIC recorded an average combined ratio of 92.6% and an average return on equity (ROE) of 17.7%.