AM Best

Best’s Special Report: EMEA Benchmarking Shows Ratings More Volatile in a More Difficult Operating Environment


Konstantin Langowski
Senior Financial Analyst
+31 20 308 5431

Ben Diaz-Clegg
Senior Financial Analyst
+44 20 7397 0293
Richard Banks
Director, Industry Research – EMEA
+44 20 7397 0322

Edem Kuenyehia
Director, Market Development & Communications
+44 20 7397 0280


OLDWICK - MARCH 17, 2023 08:15 AM (EDT)
Ratings of AM Best-rated (re)insurers in Europe, the Middle East and Africa (EMEA) have been more sensitive to market events in 2022 than in previous years.

In a new Best’s Special Report, “EMEA Benchmarking – Ratings More Volatile in a More Difficult Operating Environment,” AM Best notes that heightened geopolitical tensions, partly as a consequence of the Russia-Ukraine conflict, the economic consequences of a cost-of-living crisis and the rise in global inflation, as well as recessionary pressures, have all contributed to a difficult insurance and capital market environment. Increased claims from catastrophe losses have also played a role in the challenging operating environment.

The report reveals that the vast majority of rating units (80%) had stable outlooks (2021: 80%), with mature markets showing a higher proportion of stable outlooks (84%) than emerging markets (75%). Positive outlooks were assigned to about 5% of credit ratings (2021: 7%).

The reduction in positive outlooks from 2021 can largely be attributed to the upgrade of a number of (re)insurers and the subsequent revision of their outlooks to stable. In addition, AM Best no longer includes in its analysis three Russia-domiciled (re)insurers that had positive outlooks in 2021. Following the outbreak of the Russia-Ukraine conflict, the ratings of these companies were withdrawn in compliance with a range of sanctions imposed on Russia by the European Union. The remaining 15% of rating units had negative outlooks at 31 December 2022 (2021: 13%).

To access a complimentary copy of this special report, please visit .

AM Best is a global credit rating agency, news publisher and data analytics provider specialising in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City.