PACRA Harmonizes IFS Rating of IGI General Insurance Limited
|IFS Rating||AA+ (ifs)||AA|
Insurer Financial Strength (IFS) rating is an independent opinion on the relative “capacity of an insurance company to meet policyholder and contract obligations”. To facilitate insurance companies and users of IFS ratings, PACRA has modified the IFS rating scale. The primary objective behind this modification was to: a) Create distinction in symbols and definitions of IFS Ratings and Credit Ratings; previously same symbols were being used for both type of ratings. Now IFS symbols are exclusive for IFS ratings b) Eliminate ambiguities in terms of “Rating Category” and “Notch”; this has now been achieved in the modified scale, which will be helpful in understanding the meaning and connotation of each rating category and notch, c) Update certain definitions for more clarity.
This is expected to eliminate any overlap or ambiguity regarding rating categories and notches; thus, facilitating all stakeholders. The modified scale is applicable for all outstanding IFS ratings including “IGI General Insurance Limited”.
IGI Holdings holds 100% stake in the company. IGI Holdings is owned by Packages Group, which is ranked amongst the renowned industrial groups of the country, having diversified interests in packaging, dairy, pharmaceutical, and financial sectors. The overall control of the company vests in a six-member board of directors, the board comprises one executive director and five non-executive directors including a female director. A.F. Ferguson & Co. Chartered Accountants issued an unqualified audit report pertaining to financial statements for CY20. The company has a comprehensive organizational structure with clearly demarcated reporting lines, ensuring segregation of duties. Mr. Tahir Masaud, CEO, is an ACII and MBA from LUMS, having diversified national and international insurance related experience of over 20 years.