AM Best confirms Tunis Re's rating

AM Best has confirmed Tunis Re's “B” (fair) financial strength and “bb” long-term credit ratings, with a negative outlook.

The rating takes into consideration the reinsurer's strong balance sheet, adequate operating performance, limited business profile and marginal enterprise risk management.

Tunis Re closed the financial year 2023 with a turnover of 223 million TND (73 million USD). Over the period 2019-2023, the average combined ratio and the average return on equity (ROE) stood at 96.3% and 7.6% respectively.

The negative outlook reflects the company's exposure to country risk, which may further undermine the company's balance sheet fundamentals.