Global credit rating agency Standard and Poor’s (S&P) has reaffirmed Qatar Insurance Company’s (QIC) ‘A’ rating with a “stable” outlook and said it does not expect that the cut in diplomatic ties of a group of Arab countries to Doha to hurt QIC.
The rating agency emphasised QIC’s recognised brand that has rapidly expanded outside its core territories, notably in the UK and in global reinsurance markets.
QIC has established a track record of good earnings, mainly owing to its diverse product offering. 
Although QIC’s business is exposed to the current pricing conditions in global markets, S&P expects the company to maintain its pricing discipline.
S&P also expects QIC’s risk-based capital to remain extremely strong due to a rights issue in 2016 and a hybrid issuance in 2017. The favourable risk profile is supported by the company’s fairly diversified and liquid investment portfolio and its moderate catastrophe exposure.
S&P said it does not expect that the cut of diplomatic ties of a group of Arab countries to Qatar will hurt QIC due to its modest business exposure to these countries.
Thanks to QIC’s strong business and financial risk profile, the rating agency expects the company to retain the relative strength of its competitive and financial position, notably due to its strong capital and earnings.
“We are encouraged by S&P’s affirmation of our strong financial strength rating. The rating agency recognises the successful establishment of our global QIC footprint and it’s expected continued positive effect on our financial performance going forward,” QIC Group president and chief executive Khalifa Abdulla Turki al-Subaey said.
QIC is the market leader in Qatar and one of the highest rated insurers in the Gulf region with market capitalisation of more than $5bn.