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Insurer Strength RatingTo inquire about all terms of rating procedure, please
contact: A major condition for development of the insurance sector is the customer’s confidence. To achieve it the market must be transparent, having well-organized legislative framework and efficient tools for control over its participants. Today the information mirroring performance of insurance companies in Ukraine’s market remains insufficient, with legislative framework and regulatory environment needing further enhancements. Under present circumstances an ordinary person faces difficulties when sorting out a vast number of offers and searching the most appropriate one. In order to meet market demands Credit-Rating has launched its new product – an insurer strength rating. This type of rating has been specially developed for consumers of insurance services so that they have more information about reliability of insurers. In Credit-Rating’s view this product will meet demand since in today’s environment the customer may often use insurer’s advertisements only while lacking information from unbiased sources. This is obviously insufficient, since it is greatly important to have information on reliability of insurers from independent experts – especially under crisis conditions. The insurer strength rating exhibits the agency’s opinion regarding capability and willingness of an insurance company, which operates in Ukraine, to meet its commitments on repayment of insurance reimbursements/cumulated insurance amounts in a timely and full manner. While conducting a rating procedure the agency considers company’s policy regarding repayments of reimbursements to individuals and company’s loyalty towards its customers more thoroughly than while assigning a credit rating. The insurer strength rating is assigned pursuant to a specially developed scale. The main user of this rating is a customer, that is why the scale is simple and easy to understand. While assigning an insurer strength rating we make comparisons with Ukraine’s insurance companies only, leaving beyond consideration of other economic entities. The rating enables potential customers of insurance companies to make selection of the most reliable companies and decide on purchasing services in the company or prolongation of existing agreement. Apart from the criteria given below, additional specific factors intrinsic to certain companies may be taken into consideration by the agency. The major criteria for assigning an insurer strength rating are the following: Creditworthiness
Performance efficiency
Risk management
Loyalty towards customers and reputation
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