AM Best Comments on Credit Ratings of Mandal Daatgal JSC

HONG KONG--(BUSINESS WIRE)--
AM Best has commented that the Financial Strength Rating of B (Fair) and the Long-Term Issuer Credit Rating of “bb+” (Fair) of Mandal Daatgal JSC (Mandal) (Mongolia) remain unchanged.

This comment follows the recent uncertainty surrounding the credit profile of Mandal’s major treaty and facultative reinsurers. Based on AM Best’s exchange with Mandal’s management, these reinsurers have a relatively small share in Mandal’s outward facultative agreements, and the chance of triggering the treaty is relatively remote. Thus, the concerned balance sheet exposure relative to the company’s capital and surplus is considered limited.

AM Best will monitor any material change in Mandal’s Credit Rating (rating) fundamentals arising from future events, such as heightened reinsurance receivable and uncollectable following future major loss events.

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.

Copyright © 2022 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.

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Jason Shum
Associate Director, Analytics

+852 2827 3424           

jason.shum@ambest.com

Source: AM Best