Fitch Ratings said on Wednesday it had withdrawn Pacific & Orient Insurance Co. Berhad’s ratings. Prior to the withdrawal, the Malaysian insurer had a ‘BBB+’ Insurer Financial Strength (IFS) Rating with a Stable Outlook.
The withdrawal follows Pacific & Orient Insurance’s decision to stop participating in the rating process.
“Fitch will no longer have sufficient information to maintain the rating. Accordingly, Fitch will no longer provide rating or analytical coverage for the insurer,” the rating agency said.
In 2022, the insurer was the country’s fourth-largest insurer in the motorcycle segment. However, its market share decreased to 8% that year, from about 13% in 2020, due to a combination of factors, including its competitors’ aggressive pricing strategies.
In its last rating commentary, issued September 2023, Fitch noted the insurer’s combined ratio had increased to 133% in FY 2023, from 104% in 2022. However, the rating agency considered the insurer’s capitalisation and leverage to be ‘strong’.
