AM Best, a global credit rating agency, has affirmed the Financial Strength Rating (FSR) of Allianz Ayudhya General Insurance Public Company Limited (AAGI) at A- (Excellent) and the Long-Term Issuer Credit Rating (Long-Term ICR) at “a-” (Excellent), both with a stable outlook. AM Best also assigned a Thailand National Scale Rating (NSR) of aaa.TH (Exceptional) to AAGI, also with a stable outlook. These ratings reflect AAGI’s balance sheet strength—assessed by AM Best as "strong"—alongside adequate operating performance, a limited business profile, and appropriate enterprise risk management. Furthermore, AAGI benefits from rating support provided by the Allianz Group (Allianz SE).

AM Best assesses AAGI’s balance sheet strength as strong, supported by risk-adjusted capitalization that, as of year-end 2025, stood at the highest level according to Best’s Capital Adequacy Ratio (BCAR) criteria. The company also possesses strong financial flexibility, with access to capital markets through its parent company listed on the Stock Exchange of Thailand: Allianz Ayudhya Capital Public Company Limited [SET: AYUD].

Additionally, AM Best views AAGI’s investment strategy as prudent, with the majority of investment assets held in cash, deposits, and high-quality fixed-income securities. The company utilizes reinsurance to a moderate extent to support its underwriting capacity and manage catastrophe risk; this risk is partially mitigated by the high credit quality of the reinsurers AAGI engages.

Regarding operating performance, AM Best assesses AAGI’s results as adequate. The company’s Return on Equity (ROE) stood at 2% in 2025, compared to 3.8% in 2024. In 2025, the loss ratio was impacted by increased claims arising from earthquake and flood events. However, this impact was partially offset by improved health insurance underwriting results following the implementation of ongoing corrective measures and portfolio management strategies.

AAGI maintained positive operating performance during the first half of 2026. Consistent investment income—primarily interest income—continued to play a key role in supporting overall profitability. Looking ahead, AM Best expects AAGI to sustain an adequate level of operating performance, supported by its growth strategy alongside disciplined underwriting and prudent pricing practices.

AM Best assesses AAGI’s business profile as limited. AAGI operates in the Thai non-life insurance sector, ranking ninth in the industry with a market share of approximately 4% based on gross written premiums in 2025. The company’s underwriting portfolio is well-diversified across product types and distribution channels.

AM Best is a global credit rating agency. ...and a data analytics provider specializing in the insurance industry. Headquartered in the United States, the company operates in over 100 countries, with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore, and Mexico City.

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