For Fitch Ratings, Misr’s rating reflects its leadership position as the largest insurance company in the Egyptian insurance market, strong capitalization and financial performance, and a prudent investment strategy by local standards .
The company recorded gross written premiums (PRG) of 9.3 billion EGP (approximately 584 million USD) in 2020, its share of PRG in Egypt is 45% in a market of 38 players. Fifteen percent of its 2020 premiums were written outside Egypt, of which 13% was internal reinsurance business and 2% through three foreign branches in Qatar, Kuwait and Dubai.
“Our vision of Misr’s capitalization is underpinned by its extremely strong regulatory solvency of 1,540% as of the same date,” notes Fitch for whom Misr’s financial performance and earnings are strong. This performance reflects an average combined ratio over five years of 90%.
Fitch considers Misr’s investment strategy to be prudent, albeit strongly correlated with the Egyptian economy. Misr’s assets are 52% invested in cash and cash equivalents in Egyptian banks, 28% in fixed income securities and 20% in equities.