Allianz Australia Insurance, a highly strategically important subsidiary of its ultimate parent
Allianz SE, has maintained its “AA-” financial strength and issuer credit ratings, with stable outlook, according to S&P Global Ratings.
The ratings benefitted from Allianz SE's group credit profile (GCP) of AA/Stable/A-1+.
The global rating agency said Allianz Australia's solid business profile across key property and casualty (P&C) market segments and its history of operating performance underpin the insurer's stand-alone credit profile (SACP) of “a-”.
S&P said Allianz Australia has a sound financial risk profile based on its “BBB” level capital adequacy and the solid financial backing of its parent company in case of need, or if growth warrants it, as seen in past cases. The insurer's conservative management of its investment portfolio, with a very low level of credit risk retained and good diversification, is also a plus for the company.
Allianz Australia's enterprise risk management (ERM) is also very strong, in line with group capability and incorporates close association with group practices and status.
“The stable outlook on Allianz Australia reflects our outlook on the ratings of Allianz SE, and our expectation that Allianz Australia will remain highly strategically important to Allianz SE,” the ratings agency said in a statement.
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