Its risk-adjusted capitalisation is expected to remain at the strongest level over the medium term.
Singapore Reinsurance Corporation Limited (Singapore Re) saw sustained improvement in its operating performance in recent years, supported by favourable underwriting results and positive investment returns, said AM Best.
The reinsurer’s investment income remains supportive of overall earnings, whilst operating results in the first half of 2026 are favourable, the credit rating agency said in a report published on 4 September.
“Singapore Re’s balance sheet strength is underpinned by its risk-adjusted capitalisation that is expected to remain at the strongest level over the medium term,” AM Best said.
Its investment portfolio is focused on cash, deposits and fixed-income securities, albeit with some exposure to higher-risk asset classes such as equities, AM Best said.
Singapore Re is expected to maintain its strong operating performance, supported by healthy business growth whilst maintaining a prudent underwriting discipline, the report said.
The reinsurer utilises retrocession to increase its underwriting capacity and manage exposure to catastrophe accumulations and large single risks, AM Best said.
Singapore Re is also expected to benefit from good financial flexibility due to support provided by its parent, Fairfax Financial Holdings Limited.