AM Best has affirmed the Financial Strength Rating of B++ (Good) and the Long-Term Issuer Credit Rating of “bbb” (Good) of Global Protection Reinsurance Ltd. (GPR) (Barbados). The outlook of these Credit Ratings (ratings) is stable.

The ratings reflect GPR’s balance sheet strength, which AM Best assesses as strongest, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management (ERM).

The stable outlooks are based on AM Best’s expectation that GPR will maintain its current balance sheet strength assessment level, while ongoing strategic initiative changes.

The company is based in Barbados and fully owned by Global Protection Holding Corp. (B.V.I.), a subsidiary of Ficohsa Corp S.L. (Spain), previously named Corporacion Ficohsa S.A.(Panama). In 2023, it was renamed and the domicile was changed to Spain. GPR concentrates its efforts in reinsuring the group’s facultative risks, limiting its growth inside the markets where the group operates, such as El Salvador, Guatemala, Honduras, Nicaragua and Panama.

GPR has strengthened its capital base steadily by reinvesting its earnings. The balance sheet strength assessment of strongest also factors in the company’s ability to generate profit, taking advantage of the synergies within the group.

The company historically has shown positive bottom-line results. GPR’s operating performance has been underpinned by positive technical results as the company pursues new business opportunities inside its group. The nature of the business and its technical capacities in new business lines will continue to be monitor closely to assess the overall operating performance. AM Best expects the company to maintain premium sufficiency and steady trends in its profitability ratios.

AM Best assesses GPR’s business profile as limited due to its self-imposed geographic boundary on market reach to that of its economic group. However, given the depth of the operations of its economic group, overtime, greater diversification could be achieved.

AM Best considers GPR’s ERM to be appropriate as it is well-integrated into its operations. The company follows the group’s risk policies and appetite and adheres to the investment policies of its affiliates, which were previously approved by management.

Negative rating actions could take place if there is a deterioration in GPR’s risk-adjusted capitalization. Additionally, negative rating actions could also take place if disruptions in business generation affects the company’s operating performance. Positive rating actions could take place if GPR’s operating performance keeps trending positively with a higher diversification in revenues and profits.

This press release relates to Credit Ratings that have been published on AM Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best’s Credit Ratings. For information on the proper use of Best’s Credit Ratings, Best’s Performance Assessments, Best’s Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best’s Ratings & Assessments.

AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.

Copyright © 2024 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.

View source version on businesswire.com: https://www.businesswire.com/news/home/20241101797538/en/