Press Release

JCR-VIS has Reaffirmed the IFS rating of The Pakistan General Insurance Company Limited

Karachi, November 23, 2010: JCR-VIS Credit Rating Company Limited (JCR-VIS) has reaffirmed the Insurer Financial Strength (IFS) rating of The Pakistan General Insurance Company Limited (PGICL) at ‘BBB’ (Triple B). Outlook on the rating remains ‘Positive’.

Over the years, PGI has achieved an adequate level of capitalization vis-à-vis business volumes on the back of sustained underwriting profitability. Moreover, proceeds from sale of land improved the overall liquidity profile of the company. The company made a valuable induction at the senior management level while introducing a new product projected to attract additional business volumes.

PGI has achieved notable growth in gross premium during 1H10 but at the cost of a relatively higher net claims ratio. The momentum in growth will have to be balanced with prudent underwriting performance. The management has made material efforts to upgrade the IT infrastructure; however, there is still room for further improvement with regards to documentation and networking.

For further information on this rating announcement, please contact the undersigned (Ext: 508) or Ms. Sabeen Saleem (Ext: 510) at 021-35311861-71 or fax to 021-35311872-3.



Syed Ziauddin Ahmed
Advisor

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 November 23, 2010 VIS Credit Rating Company Limited. All rights reserved. Contents may be used by news media with credit to VIS.