JACK ZIMBA
Lusaka
INTERNATIONAL Credit Rating Agency (ICRA) has awarded an AA rating with a Stable Outlook to Professional Insurance Corporation Zambia (PICZ), recognising the company’s strong financial position, sound corporate governance and ability to meet its obligations to policyholders.
Speaking during the presentation of the rating certificate, ICRA Zambia chief executive officer and director of Africa operations David Mwambazi said credit ratings play a vital role in strengthening confidence in the insurance industry.
“Insurance is a unique business because it sells a promise. When people buy an insurance policy, they are paying today for the assurance that if something unexpected happens tomorrow – or even many years from now – the insurer will have the financial strength to honour its commitment,” Dr Mwambazi said.
He said independent credit ratings, therefore, provide an objective assessment of an insurer’s financial strength, governance, risk management and ability to meet future obligations.
“That is why independent credit ratings are so important.
They provide an objective assessment of an insurer’s financial strength, governance, risk management, and its ability to meet future obligations,” he said. Dr Mwambazi said credit ratings promote transparency and confidence by helping policyholders, investors, regulators, brokers, banks and business partners make informed decisions based on independent assessments rather than assumptions.
“Today’s presentation of an AA rating with a Stable Outlook to Professional Insurance Corporation Zambia reflects a strong level of financial strength and the company’s ability to continue meeting its obligations to policyholders and other stakeholders,” he said. ICRA is a multinational credit rating agency headquartered in Dubai, United Arab Emirates, with a growing presence across Africa. In Zambia, the agency is regulated by Securities and Exchange Commission.
“As ICRA, we believe that strong and credible insurance companies contribute to a stronger financial sector and a more resilient economy. We congratulate the board, management and staff of PICZ on this well-deserved achievement and encourage them to continue maintaining the high standards that earned this rating,” Dr Mwambazi said. He said ICRA Zambia has intensified the issuance of unsolicited ratings to improve market coverage and provide independent risk assessments of listed companies and commercial banks.
The agency has so far achieved more than 60 percent coverage of listed companies in Zambia, enhancing market visibility and providing valuable benchmarks for investors and policymakers.
