Janashakthi General Insurance Limited

Janashakthi General Insurance Limited: Rating Placed on Notice of Withdrawal

Summary of rated instruments

Instrument Rated Amount (LKR Mn) Rating Action
Insurance  Financial  Strength  rating N/A [SL]A; rating watch with developing implications; placed on Notice of Withdrawal for 30 days.

ICRA Lanka Limited, subsidiary of ICRA Limited, a group company of Moody’s Investors Service, has placed the Insurance Financial Strength rating of [SL]A; on rating watch with developing implications (pronounced SL A) of Janashakthi General Insurance Limited (“JGIL”/”the Company”) on Notice of Withdrawal for 30 days. The withdrawal is at the request of the Company and the rating would be withdrawn at the end of the withdrawal notice period.  This is in accordance with ICRA Lanka’s Withdrawal and Suspension Policy.

Analytical approach: The withdrawal is based on ICRA Lanka’s Policy on withdrawal and suspension of Credit Rating and the rating is based on ICRA Lanka’s insurance financial strength rating methodology, as indicated below.

Links to applicable criteria:  ICRA Lanka’s Insurance Financial Strength Rating Methodology; ICRA Lanka’s Withdrawal and Suspension Policy.

Company Profile:

Presently JGIL is a fully owned subsidiary of Allianz SE. Formerly, it was part of the Janashakthi group. Janashakthi Insurance Company PLC (JIP, former immediate parent of JGIL) was initially incorporated in Sri Lanka as Janashakthi Life Insurance Co. Ltd, a public company with limited liability, in 1992. JIP began its operations in September 1994, as Sri Lanka’s first specialized life insurer and ventured into Non-Life Insurance through Janashakthi General Insurance Co Ltd (Janashakthi General), which was established in 1995. JIP and Janashakthi General were merged in 2000 to form JIP, a composite insurance player. JIP acquired National Insurance Corporation Ltd in 2001, and later diversified into other areas of financial services. Janashakthi General Insurance Limited was incorporated as a wholly owned subsidiary of JIP during 2014, and JIP transferred the non-life business to JGIL from January 01, 2015, thus complying with the regulatory requirement. JIP fully acquired AIA General Insurance Lanka Limited during 2015 and merged it with JGIL during January 2016. In February 2018, JIP divested JGIL to Allianz SE.

Rating history for last three years:

 ANALYST CONTACTS

Ms. Apsara Thurairetnam

+94 11 4339907

apsara@icralanka.com

Mr. Niraj Jalan

+91 33 71501146

niraj.jalan@icraindia.com

RELATIONSHIP CONTACT

Mr. W. Don Barnabas  

+94 11 4339907

wdbarnabas@icralanka.com


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