Has affirmed the Financial Strength Rating (FSR) of A++ (Superior) and the Long-Term Issuer Credit Rating (Long-Term ICR) of “aa+” (Superior) of Samsung Fire & Marine Insurance Co., Ltd. (SFM) (South Korea) and also affirmed the FSR A- (Excellent) and the Long-Term ICR of “a-” (Excellent) of PT Asuransi Samsung Tugu (AST) (Indonesia). Concurrently, AM Best has upgraded the FSR to A++ (Superior) from A (Excellent) and the Long-Term ICR to “aa+” (Superior) from “a” (Excellent) of Samsung Reinsurance Pte. Ltd. (SRE) (Singapore). AM Best also has upgraded the FSR to A++ (Superior) from A- (Excellent) and the Long-Term ICR to “aa+” (Superior) from “a-” (Excellent) of Samsung Vina Insurance Co., Ltd. (SVI) (Vietnam). AM Best also has upgraded the FSR to A++ (Superior) from A (Excellent) and the Long-Term ICR to “aa+” (Superior) from “a+” (Excellent) of Samsung Fire & Marine Insurance Company of Europe Limited (SFME) (United Kingdom). The outlook of these Credit Ratings (ratings) is stable.

The rating upgrades of SRE, SVI, and SFME follow AM Best’s assessment of these entities being newly added members of the lead rating unit of SFM. The rating actions reflect each of these entities’ strategic importance to and integration with SFM, as well as significant explicit and implicit support they receive from SFM.

As a joint venture between SFM (75%) and Vietnam National Reinsurance Corporation (25%), SVI is strategically important to SFM as it offers coverage to Samsung group affiliates in Vietnam, including Samsung Electronics, which has a substantial volume of investments in the country. The contributions from Samsung group risks to SVI’s GPW in 2021 was 55%. As demonstrated by its five-year average net retention ratio of 7% (2017-2021), SVI heavily uses reinsurance to underwrite large-size risks, mainly through facultative support from SFM. The company also benefits from direct access to the resources of SFM including managerial oversight and technical support, including marketing, underwriting, pricing, actuarial, IT and risk management.

 Source: https://web.ambest.com/