Fitch Ratings on Feb. 21 upgraded the national insurer financial strength rating of MAPFRE Seguros Guatemala SA to AA+(gtm) from AA(gtm) while assigning a stable outlook.
The upgrade reflects the effectiveness of the insurer's corrective measures implemented to correct the technical performance of its deficit lines, allowing it to continue recording adequate profitability, leverage and liquidity ratios for a company of its size, Fitch said.
Fitch also commended the upward trend in the company's written premiums and market share, while maintaining favorable rates in its operating performance. However, the company needs to maintain controlled levels of leverage with a more conservative dividend policy, the rating agency noted.
Meanwhile, MAPFRE Seguros Guatemala's rating recognizes the capacity and willingness of its controller, Mapfre SA, to support its operations.