2013-02-04 23:01:24 -

A.M. Best Asia-Pacific Limited has assigned a financial strength rating of A- (Excellent) and issuer credit rating of “a-” to ECICS Limited (ECICS) (Singapore). The outlook assigned to both ratings is stable.

The ratings reflect ECICS’ strong risk-based capitalization and favorable operating results in the past five years. The ratings also acknowledge the company’s expertise in bonds and guarantees and credit insurance underwriting.

Due to a relatively low underwriting leverage, ECICS has maintained a strong risk-adjusted capitalization level, as reflected by its Best’s Capital Adequacy Ratio (BCAR) and local regulatory capital adequacy ratio. The company has demonstrated satisfactory operating results in the past five years, due to its favorable performance in both underwriting and investments. With its operation starting in 1975, ECICS

has a proven track record of underwriting expertise in bonds and guarantees, as well as credit insurance. The risk underwritten by the company also is supported by its reinsurance program, with a panel of reinsurers of high credit quality.

Offsetting rating factors include ECICS’ small share of the general insurance market in Singapore and business concentration risk, as it only focuses on bonds and guarantees and credit insurance. Any adverse movement in Singapore’s and/or the global economy will negatively impact the company’s business growth and operating results.

Negative rating actions could occur if there is a substantial decline in ECICS’ risk-adjusted capitalization or a significant deterioration in its operating performance.

The methodology used in determining these ratings is Best’s Credit Rating Methodology, which provides a comprehensive explanation of A.M.

Best’s rating process and contains the different rating criteria employed in the rating process. Key criteria utilized include.

“Understanding Universal BCAR”; “Catastrophe Analysis in A.M. Best Ratings”; “Evaluating Country Risk”; and “Risk Management and the Rating Process for Insurance Companies.” Best’s Credit Rating Methodology can be found at www.ambest.com/ratings/methodology : cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww .. .


Founded in 1899, A.M. Best Company is the world's oldest and most authoritative insurance rating and information source. For more information, visit www.ambest.com : cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww .. .

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A.M. Best Co.Yanwei YouAssociate Financial Analyst+852-2827-3421 yanwei.you@ambest.com : mailto:yanwei.you@ambest.com orJeff
YeungSenior Financial Analyst+852-2827-3413 jeff.yeung@ambest.com : mailto:jeff.yeung@ambest.com orRachelle
MorrowSenior Manager, Public Relations+(1) 908 439 2200,

ext. 5378 rachelle.morrow@ambest.com : mailto:rachelle.morrow@ambest.com orJim

PeavyAssistant Vice President, Public Relations+(1) 908 439

2200, ext. 5644 james.peavy@ambest.com : mailto:james.peavy@ambest.com