MEXICO CITY--(BUSINESS WIRE)--AM Best has affirmed the Financial Strength Rating (FSR) of B++ (Good), the Long-Term Issuer Credit Rating (Long-Term ICR) of “bbb+” (Good) and the Mexico National Scale Rating (NSR) of “aa+.MX” (Superior) of Aserta Seguros Vida, S.A. de C.V., Grupo Financiero Aserta (ASV) (Mexico City, Mexico). The outlook of the FSR is stable, and the outlook of the Long-Term ICR and NSR is negative. Concurrently, AM Best has withdrawn these Credit Ratings (ratings) as the company has requested to no longer participate in AM Best’s interactive rating process.
The ratings reflect ASV’s balance sheet strength, which AM Best assesses as strong, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management (ERM).
The negative Long-Term ICR and Mexico NSR outlooks reflect ASV’s trend in premium contraction and its effect on operating performance.
The ratings also reflect ASV’s integration into Controladora Aserta S.A.P.I. de C.V. (CA) in terms of operations, capital support, business infrastructure and ERM.
ASV started operations in 2012, focusing on life microinsurance, group life and accident and health insurance. In 2013, CA acquired a majority stake in the company and subsequently received regulatory approval for ASV to become a member of the financial group. ASV has a market share of less than 1% as of September 2022, as the company continues to focus on prioritizing underwriting quality over premium growth.
Risk-adjusted capitalization, as measured by Best’s Capital Adequacy Ratio (BCAR), stands at the strongest level, reflecting capital support from its parent. The last capital contribution took place in 2021 so that ASV could maintain its regulatory requirements within compliance levels.
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