The rating downgrades consider MEICO
's marginal level of risk-adjusted capitalisation, reflecting an investment portfolio that is concentrated in local real estate and equities, which together accounted for over 90 per cent of the company's total investments at year-end 2015.
According to the agency, MEICO
's risk-adjusted capitalisation going forward will remain strong despite having weakening as a result of the depressed capital markets.
However, the final rating level continues to be constrained by general macroeconomic considerations relating to economic and industry risks in the Hashemite Kingdom of Jordan (local currency: BBB-/Stable/A-3; foreign currency: BB/Stable/B) and their potential, if indirect, impact on MEICO
's capitalization and financial flexibility.
"We are honoured to be working with Meico
to protect our customers and cover their liabilities whether it is for car insurance, fire insurance, travel insurance or marine insurance," he added.
The ratings of MEICO
reflect its leading domestic franchise and strong track record of profitability.
Best Europe - Rating Services Limited has affirmed the financial strength rating of B++ (Good) and the issuer credit rating of "bbb" of Middle East Insurance Company (MEICO
) (Jordan); the outlook has been revised to negative from stable.
Several representatives from the MEICO
also attended the ceremony including CEO Rajai Sweis, Salem Taha, Assistant General Manager, Life Marketing & Business Development, Nabil Anz, Assistant General Manager, Motors, Ahmad Alotaibi, Assistant General Manager, Production and Branches, and Zakariya Ammar, Life, Medical, PA, and Travel Department Manager.
Distributes blow molding machines made by Magic and Meico
SRL of Italy.
North American distributor of industrial forming machines for Meico
Srl in Italy recently launched an all-electric version of its roll-fed FCS 750 (form-cut-stack) pressure former.