Standard & Poor's Ratings Services said that it has assigned its 'A' long-term insurer financial strength rating to Qatar-based Q-Re. The outlook is stable.

The rating on Q-Re is based on a guarantee which has been provided by Qatar-based Qatar Insurance Company (QIC; A/Stable/--).

Standard & Poor's expects the rating on Q-Re to move in lockstep with that on QIC. Q-Re is a subsidiary of QIC. It has been established in the Qatar Financial Center as an operating company to write treaty and facultative reinsurance business.

The rating on QIC reflects the group's strong competitive position, very strong capitalisation, and very strong underwriting performance. These positive factors are partially offset by QIC's high but reducing reinsurance utilisation, locally concentrated investment portfolio, and economic and industry risks inherent to the Gulf region.

The stable outlook on Q-Re reflects the stable outlook on its guarantor, QIC.-Reuters