Press Release

JCR-VIS assigns IFS rating to National Insurance Company Limited

Karachi, July 18, 2005: JCR-VIS Credit Rating Company Limited (JCR-VIS) has assigned an Insurer Financial Strength (IFS) rating of ‘AA+’ (Double A Plus) to National Insurance Company Limited (NICL). The company had previously been assigned an unsolicited rating of ‘AA(p)’ (Double A ‘p’) on June 12, 2003.

NICL has the largest asset base in the sector and is the most well- capitalized insurance company in Pakistan with a net worth in excess of Rs. 10b. The financial indicators of the company have strengthened over the past couple of years. The investment portfolio is well-diversified. The company has reliable reinsurance arrangements from strong foreign re-insurers through Pakistan Reinsurance Company Limited. In recent years there has also been emphasis on developing human resources both through induction of qualified personnel and through training of employees.

As the sole provider of public sector insurance in the country, the company has ready access to business. However, privatization of public sector companies may impact NICL’s business volumes in the coming years, unless compensated by business generated from newer avenues currently being explored.

For further information on this rating announcement, please contact Mr. Muhammad Ameen (ameen@jcrvis.com.pk / Ext: 235) or Ms. Sabeen Saleem (sabeen@jcrvis.com.pk / ext: 222) at 5671822/5671833/5680996 or fax to 5681105/5671600.



Faheem Ahmad
President & CEO

Information herein was obtained from sources believed to be accurate and reliable; however, VIS Credit Rating Company Limited (VIS) does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. VIS, the analysts involved in the rating process and members of its rating committee do not have any conflict of interest relating to the rating(s)/ranking(s) mentioned in this report. VIS is paid a fee for most rating assignments. This rating/ranking is an opinion and is not a recommendation to buy or sell any securities. Copyright July 18, 2005 VIS Credit Rating Company Limited. All rights reserved. Contents may be used by news media with credit to VIS.