Fitch Ratings on May 28 lowered Mexico-based Seguros Centauro Salud Especializada SA de CV's national scale insurer financial strength rating to BBB+(mex) from A-(mex).

The downgrade reflects Fitch's view of a deterioration in Seguros Centauro's financial profile due to structural changes that have pressured its operational efficiency. The indicator deteriorated to 63% from a 40% five-year average after the Keralty group acquired the insurer in August 2018. As part of the deal, the company signed a noncompete agreement with the seller. The agreement has resulted in an amortization expense that weighed on the insurer's operational efficiency indicator.

The rating action also considers the insurer's limited market share, niche operation and the challenge on its new administration to successfully hit financial targets.

On the other hand, the rating is anchored on the insurer's leadership in the dental insurance segment as well as its strong liquidity.

The outlook on the rating is stable.