Moody’s upgrades Brazilian ins. sector outlook to stable
Friday, 08 10 2018, Category: Insurance and Reinsurance, Country: World
Moody’s Investors Service has changed its outlook for Brazilian insurers from negative to stable for the next 12-18 months in light of an improvement in underwriting disciple that it believes will drive an increase in premiums and stable profitability, despite slow economic growth.
“Even though Brazil´s currently weak economic environment limits growth prospects for insurers, the sector has overall grown at faster pace than the economy”, said Diego Kashiwakura, Vice President – Senior Analyst at Moody’s.
“As interest rates fall, we expect insurers to focus on underwriting results, strengthening policies and controls and reducing underwriting expenses to sustain returns on capital”, said Kashiwakura.