Rating Release
Agusto & Co. upgrades Unitrust Insurance Company Limited ratings to ‘A’ (long term) and ‘A1’ (short term), with a stable outlook
The rating expires on 30 June 2026.
Agusto & Co. upgrades Unitrust Insurance Company Limited’s (‘Unitrust Insurance’ or ‘the Insurer’ or ‘the Company’) ratings to ‘A’ (long-term) and ‘A1’ (short-term) based on the expanded cash flow on the back of the uptick in insurance revenue. The improved profitability which supported the capital base was also considered in the ratings upgrade. We also factored the good liquidity profile upheld by the strategic allocation of the investment portfolio to money market securities. However, constraining these positive rating factors are rising operating costs, higher loss ratio driven by growing claims in the motor, fire and agriculture businesses, and the impact of the prevailing macroeconomic headwinds on Nigerians.
