A.M. Best has revised The New India Assurance Company’s outlook from stable to positive, affirming its Financial Strength Rating (FSR) of B++ (Good) and Long-Term Issuer Credit Rating (Long-Term ICR) of “bbb+” (Good). The India National Scale Rating (NSR) is affirmed at aaa.IN (Exceptional) with a stable outlook. These ratings reflect the company’s strong balance sheet, adequate operating performance, favorable business profile, and marginal enterprise risk management.
Ratings Outlook Revised
A.M. Best has revised the outlook for The New India Assurance Company Limited to positive from stable. At the same time, they have affirmed the Financial Strength Rating (FSR) of B++ (Good) and the Long-Term Issuer Credit Rating (Long-Term ICR) of “bbb+” (Good).
National Scale Rating
The India National Scale Rating (NSR) of aaa.IN (Exceptional) for New India has also been affirmed, with a stable outlook. The action reflects A.M. Best’s view of the company’s creditworthiness within the Indian market.
Key Rating Factors
The ratings consider several factors, including:
- Balance sheet strength, which A.M. Best categorizes as very strong.
- Adequate operating performance.
- Favourable business profile.
- Marginal enterprise risk management (ERM).
Improving ERM Fundamentals
The revision of the outlook to positive reflects an improving trend in the company’s ERM fundamentals. The company has demonstrated improvements through enhancing its risk management framework, strengthening systems and controls, and addressing audit qualifications on its financial statements.
Balance Sheet Assessment
New India’s balance sheet strength assessment is supported by its risk-adjusted capitalisation, which remained at the strongest level at fiscal year-end 2025, as measured by Best’s Capital Adequacy Ratio (BCAR). The company’s reinsurance assets are mainly of good credit quality, and the investment portfolio is of moderate risk.
Source: BSE
