Rating Recap: Taiwan (P/C) Industry

Standard & Poor’s Ratings Services has released a new report, which examines Taiwan’s P/C insurance sector. S&P said the general outlook is “stable, reflecting the likelihood of continued satisfactory profitability and capital strength, and appropriate reserving.” The article “Nonlife Insurance Industry Risk Analysis: Taiwan,” was prepared, by Taiwan Ratings Corp., S&P’s Taiwan-based subsidiary. Despite a generally positive assessment of the sector, the article “highlights the increasing exposure to risky investments–equities and real estate–as well as expectations of intensified price competition and rate deregulation,” said S&P. “Taiwan’s underwriting cycle remains exposed to catastrophe risks and the availability of regional and global reinsurance capacity,” explained Susan Chu, the director of financial services ratings at Taiwan Ratings.