Standard & Poor’s has revised the credit ratings of Dubai Islamic Insurance and Reinsurance Company (Aman) from negative to stable with an affirmative ‘BBB’ long-term counterparty credit and insurer financial strength ratings.

Aman's credit rating within Standard & Poor’s ratings services has increased reflecting Aman's good capitalization, good financial flexibility, and good competitive position in the UAE market, said the insurer in a statement.

Aman has displayed resilience to the financial downturn over the past two years and the company has continued to grow profitably, while taking management actions to achieve prudent growth, the S&P said in its report.

Aman has also continued to post good underwriting earnings, and its current ratings were supported by the good competitive position in its home market of Dubai and good underlying earnings, the report added.

The report also mentioned that Aman will maintain the quality of its underwriting earnings, while growing selectively in new business lines. Also, Aman’s adequate liquidity will likely prevent it from realizing losses on its investments and that the company will continue its management actions to reduce the volatility of capital adequacy.

Commenting on the new rating, Aman CEO and managing director Hussein Al Meeza said its performance over the past two years had resulted in considerable growth and an increase in the volume of insurance work.

He pointed out that despite the financial turmoil that struck the economies in 2009, Aman’s results were healthy due to the operational stability and the introduction of new insurance services by the company.-TradeArabia News Service