CONTACTS:
FOR IMMEDIATE RELEASE
LONDON - MARCH 15, 2018 04:52 PM (EDT)
A.M. Best has removed from under review with negative implications and changed the Financial Strength Rating to a Non-Rating Designation of E (Under Regulatory Supervision) from C (Weak) and the Long-Term Issuer Credit Rating to “e” from “ccc+” of JSC Salem Insurance Company (Salem) (Kazakhstan), following regulatory actions that prevent the company from writing business for six months.
These actions follow announcements by the National Bank of Kazakhstan, on 9 February and 3 March 2018, suspending Salem’s licences for compulsory and voluntary classes of business for six months. The regulator cited non-compliance with regulatory requirements as the reason for the suspensions. Salem’s regulatory solvency margin deteriorated to 0.58 as at 1 February 2018, breaching the minimum requirement of 1.00.
This press release relates to Credit Ratings that have been published on A.M. 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 A.M. Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Understanding Best’s Credit Ratings. For information on the proper media use of Best’s Credit Ratings and A.M. Best press releases, please view Guide for Media - Proper Use of Best’s Credit Ratings and A.M. Best Rating Action Press Releases.
A.M. Best is the world’s oldest and most authoritative insurance rating and information source.