AM Best Affirms Credit Ratings and Assigns National Scale Rating to Dhipaya Insurance Public Company Limited

Business Wire

SINGAPORE--(BUSINESS WIRE)-- AM Best has affirmed the Financial Strength Rating of A- (Excellent) and the Long-Term Issuer Credit Rating of “a-” (Excellent) of Dhipaya Insurance Public Company Limited (Dhipaya) (Thailand). The outlook of these Credit Ratings (ratings) is stable. Concurrently, AM Best has assigned a Thailand National Scale Rating (NSR) of aaa.TH (Exceptional) to Dhipaya. The outlook assigned to the NSR is stable.

The ratings reflect Dhipaya’s balance sheet strength, which AM Best assesses as strong, as well as its strong operating performance, neutral business profile and appropriate enterprise risk management.

Dhipaya’s balance sheet strength assessment is viewed as strong, underpinned by its risk-adjusted capitalisation, which is expected to remain at the strongest level over the medium term, as measured by Best’s Capital Adequacy Ratio (BCAR). The company benefits from strong financial flexibility as part of Dhipaya Group Holdings Public Company Limited (Dhipaya Group), which is a listed insurance holding company with access to capital markets. The company has a moderate risk investment strategy, given its notable allocation to equities and mutual funds. In addition, the company has a high reliance on reinsurance to support the underwriting of very large risks and to manage catastrophe exposure, although this is mitigated partially by the typically high credit quality of its reinsurance counterparties. The balance sheet strength assessment also factors in a neutral holding company impact arising from its ultimate ownership by Dhipaya Group.

AM Best assesses Dhipaya’s operating performance as strong, as evidenced by its consistently favourable operating results in recent years. In 2025, the company’s operating earnings remained resilient despite higher claims costs arising from earthquake and flood events, as well as competitive market conditions in its major corporate client segment. In addition, Dhipaya’s investment income, which comprises interest and dividend income, continues to remain supportive of overall earnings. Prospectively, the company is expected to maintain its strong operating performance, supported by disciplined underwriting and pricing strategies.

AM Best assesses Dhipaya’s business profile as neutral. The company has a strong presence in Thailand’s non-life market, ranking second with a market share of 11% in 2025, based on direct premium written. Dhipaya holds a dominant market position in several major segments, including fire and miscellaneous insurance (excluding accident and health). Premiums are sourced mainly from Thailand, although prospective overseas expansion is expected to support improved business diversification. Furthermore, the company’s business profile benefits from its strong shareholder support through business referrals and access to extensive countrywide distribution networks.

Ratings are communicated to rated entities prior to publication. Unless stated otherwise, the ratings were not amended subsequent to that communication.

This press release relates to Credit Ratings that have been published on AM 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 AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best’s Credit Ratings. For information on the proper use of Best’s Credit Ratings, Best’s Performance Assessments, Best’s Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best’s Ratings & Assessments.

AM Best is a global credit rating agency, news publisher and data analytics provider specialising in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.