Press Release

JCR-VIS assigns a Positive outlook to IFS rating of Reliance Insurance Company Limited

Karachi, September 10, 2007: JCR-VIS Credit Rating Company Ltd. (JCR-VIS) has assigned a ‘Positive’ outlook to the Insurer Financial Strength (IFS) rating of Reliance Insurance Company Limited (RICL). Rating has been maintained at ‘A-’ (Single A Minus).

Ratings incorporate the steady growth achieved over the last two years, with fire and motor segments being the primary contributors to business volumes. In addition to this, improvement in underwriting quality has also been witnessed in 2006 as reflected in increase in underwriting profits. Stability in the management team, comprising experienced professionals, has remained the company’s key strength. The company enjoys the support of a sound panel of reinsurers in its business operations.

Liquidity indicators appear adequate and insurance debt has been maintained within acceptable limits, indicating sound control over recovery procedures. Returns from the investment may need to be optimized to provide further cushion against volatility in claims performance.

A ‘Positive’ outlook has been assigned in view of the management’s ongoing endeavors to improve technological infrastructure and strengthen control functions. Progress in this regard will be tracked by JCR-VIS.

For further information on this rating announcement, please contact the undersigned (Ext: 508) or Ms. Sabeen Saleem (Ext: 608) at 5311861-70 (10 lines) or fax to 5311872-73.



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 2007 VIS Credit Rating Company Limited . All rights reserved. Contents may be used by news media with credit to VIS .