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FOR IMMEDIATE RELEASE
MEXICO CITY - JUNE 20, 2025 10:50 AM (EDT)
AM Best has affirmed the Financial Strength Rating of A- (Excellent) and the Long-Term Issuer Credit Rating of “a-” (Excellent) of Seguros G&T, S.A. (SG&T) (Guatemala). The outlook of these Credit Ratings (ratings) is stable.
The ratings reflect SG&T’s balance sheet strength, which AM Best assesses as strongest, as well as its adequate operating performance, neutral business profile and appropriate enterprise risk management.
SG&T was established in 1947 and is the second-largest insurer in Guatemala, with a market share of 14%. The company’s product portfolio is composed mainly of property/casualty (69.8%), accident & health (21.8%) and life (8.4%), as of December 2024. SG&T holds very competitive positions across most lines of business within Guatemala’s insurance industry due to its permanence and brand recognition.
SG&T is owned privately by GTC Investments, Ltd. (GTC), the non-operating holding company of the Grupo Financiero G&T Continental financial conglomerate.
AM Best views SG&T’s business profile as neutral, based on the company’s top market position, brand recognition and experienced management. AM Best recognizes SG&T’s technical capabilities to produce favorable results, uninterrupted during the past five years. The company’s technical and managerial capabilities continue to support its strategy in its core segment while continuously looking to diversify into profitable lines.
AM Best assesses SG&T’s balance sheet strength at the strongest level, due to its capacity to protect its balance sheet, as reflected in AM Best’s risk-adjusted capitalization assessment of strongest, as measured by Best’s Capital Adequacy Ratio (BCAR). These factors are driven by sound capital management, including its comprehensive reinsurance program, conservative investment portfolio and appropriate asset liability management practices. The company reports consistently profitable results, which are reflected in its growing capital base.
AM Best considers SG&T’s operating performance as adequate, as technical results for year-end 2024 remained positive, backed by improvements in most of its business lines. The adequate assessment also considers the company’s efforts to continue creating savings and efficiencies on the expense side while aiming to improve underwriting quality. AM Best will continue to monitor SG&T’s operating performance, as the competitive environment in Guatemala’s market continues to evolve.
The stable outlooks reflect SG&T’s technical capabilities to maintain profitable underwriting and continue growing its capital base.
Positive rating actions could take place if the company’s operating performance continues to trend positively while maintaining stability in its current risk-adjusted capitalization levels.
Negative rating actions could take place if the company’s risk-adjusted capitalization deteriorates due to catastrophe events substantially affecting its capital base.
The methodology used in determining these ratings is Best’s Credit Rating Methodology (Version Aug. 29, 2024), which provides a comprehensive explanation of AM Best’s rating process and contains the different rating criteria employed in the rating process. Best’s Credit Rating Methodology can be found at www.ambest.com/ratings/methodology.
Key insurance criteria reports utilized:
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