RATING DRIVERS
Supporting Factors
- Healthy capitalization and good liquidity, supported by low risk retention
- Continued profitable operations in FY2021
- Moderately diverse investment portfolio with good asset quality
- Good operational efficiency and adequate risk management measures support operations
Constraining Factors
- Performance of the Trinidad & Tobago economy may impact TRINRE’s profitability
Rating Sensitivity Factors
Factors that could, individually, or collectively lead to an improvement in the ratings and/ or Outlook include:
- An improvement in financial performance over 10% in the next year
- Further diversification of revenue sources contributing to additional income
- An improvement in the ratings assigned to the T&T sovereign
Factors that could, individually, or collectively lead to a lowering of the ratings and/ or Outlook include:
- A deterioration of the Company’s capital adequacy ratio to 150% or lower on a sustained basis for at least 6 months under normal conditions
- A lowering of the ratings assigned to the T&T sovereign
- A lowering of the ratings of one of TRINRE’s main reinsurers
COMPANY BACKGROUND
Reinsurance Company of Trinidad and Tobago Limited was incorporated on July 3, 1975 by the Government of the Republic of Trinidad and Tobago (GORTT) which owned 60% of the Company and the remaining 40% held by various local insurance companies. In 2001, Investment Managers Limited (IML), a private investment holding company, acquired the majority shareholding of Reinsurance Company of Trinidad and Tobago and in 2015, changed its name to TRINRE Insurance Company Limited (TRINRE or the Company).
Currently, TRINRE offers a range of general insurance products and services that provide both individual and institutional coverage for: Motor, Property, Marine, Public/Product Liability, Engineering, Energy, Events, SMB[1] and Workmen’s Compensation. The Company also offers a range of Group Life insurance products for Employers and Lending Institutions. Additionally, the Company offers a range of Bonds to provide financial security for project contracts. These products and services are offered through its branch network of five outlets[2], agencies and brokers.
In February 2020, the Company obtained a license to operate an insurance company in Guyana, through its wholly owned subsidiary, Premier Insurance Company Limited (Premier). Premier commenced operations in January 2021 with a view to providing insurance and financial support to clients as Guyana continues to establish itself as an emerging global business destination.
[1] Small and Medium Businesses: Retailers, Professional Offices, Trade & Service Companies and Hospitality businesses.
[2] Head Office at Edward Street, Port of Spain, other outlets are located at: San Fernando, Arima, Chaguanas and Tobago.
Analytical Contacts:
Keith Hamlet
Tel: 1-868-627-8879 Ext. 229
E-mail: [email protected]
Maxwell Gooding
Tel: 1-868-627-8879 Ext. 229
E-mail: [email protected]
Website: www.caricris.com
E-mail: [email protected]
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