S&P Assigns ‘A’ Rating to Mitsui (HK)

Standard & Poor’s Ratings Services has assigned its “A” counterparty credit and insurer financial strength ratings to Mitsui Sumitomo Insurance Co. (Hong Kong) Ltd. (MSIHK) with a stable outlook.

“The ratings reflect MSIHK’s strategic importance to its parent. They also reflect the company’s standalone credit profile, which is characterized by strong capitalization, a superior operating performance, good liquidity, and prudent management,” stated S&P credit analyst Connie Wong. “These factors are partly offset by MSIHK’s small market presence and competitive conditions,” she added.

S&P noted that “MSIHK is wholly owned by Mitsui Sumitomo Insurance Co. Ltd. (AA-/Positive/A-1+). The stable outlook reflects MSIHK’s ability to maintain its strategic importance within the MSI group in terms of the group’s Asian expansion strategy. It also reflects expectations that the company can maintain its strong capitalization and above-average operating performance, while expanding beyond its traditional niche position as marine cargo insurance provider.”

Source: Standard & Poor’s