BUSINESS

PACRA upgrades IFS rating of United Insurance to AA

KARACHI – The Pakistan Credit Rating Agency (PACRA) has upgraded the IFS rating of the United Insurance Company (UIC) to AA with stable outlook.

The UIC with over 110 branches, is the fourth largest player in the insurance industry which has shown stability and sustainability from the past couple of years, a statement issued by PACRA said.

PACRA said that the UIC has balanced portfolio representing all the segments of the insurance industry,  its crop segment is three-quarters of a billion while Takaful business is above Rs1 billion.

The company ranks higher than the peer companies in terms of profitability which has added to its equity base.

The company has a strong reinsurance panel and all the reinsurance entities are in the A category while one of its associates APNA Bank has seen a significant turnaround.

The management has planned another right issue for the APNA Bank which will further augment its position.

Speaking at the occasion, Mian Shahid Chairman United International Group said that service, transparency, and controlled environment are the hallmarks of our institution.

We have bridged gaps in the operating framework and other critical areas which has improved our liquidity and market position.

Insurance industry provides financial support and reduces uncertainties in the business which supports the entrepreneurs, he added.

Mian Shahid said that insurance provides cover against any sudden loss, therefore, it is considered a vital part of the economy.