Specialist insurer, Centriq Insurance, is pleased to announce that Global Credit Ratings (GCR) affirmed the company’s national scale claims paying ability rating of AA-(ZA) for the second consecutive year.

Prior to the above, Centriq maintained an A+(ZA) rating for six years.

“We are pleased that the company’s security has been confirmed for the benefit of our policyholders, cell owners, underwriting management agencies and intermediaries,” says Peter Jennett, chief executive officer of Centriq Insurance.

Continued strengths demonstrated by Centriq include:

• stringent management of individual cell solvency levels;
• entrenchment of group enterprise risk management policies in company management and reporting functions;
• maintenance of a low risk balance risk;
• a conservative investment policy.

In its report, GCR said Centriq’s rating is underpinned by its strong standalone credit profile, coupled with support derived from their parent company, Santam with regards to risk management oversight and financial flexibility by means of a capital drawdown facility.

According to GCR, Centriq exhibits a strong competitive profile, supported by its material share of the cell captive market. “The specialised nature of the business model is relatively difficult to replicate from start-up, providing a competitive edge.”

GCR accorded Centriq’s rating outlook as stable.