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Editorial Advisory Board

  • Professor Andrea M. Armani, University of Southern California
  • Ruti Ben-Shlomi, Ph.D., LightSolver
  • James Butler, Ph.D., Hamamatsu
  • Natalie Fardian-Melamed, Ph.D., Columbia University
  • Justin Sigley, Ph.D., AmeriCOM
  • Professor Birgit Stiller, Max Planck Institute for the Science of Light, and Leibniz University of Hannover
  • Professor Stephen Sweeney, University of Glasgow
  • Mohan Wang, Ph.D., University of Oxford
  • Professor Xuchen Wang, Harbin Engineering University
  • Professor Stefan Witte, Delft University of Technology

Best’s Special Report: Latin America’s Issuer Credit Upgrades Outpaced Downgrades in 2024, Underpinned by Mature Markets

AM Best-rated insurers across Latin America experienced more Long-Term Issuer Credit Rating (Long-Term ICR) upgrades than downgrades in 2024, with the majority of those upgrades occurring in the region’s more mature markets, according to a newly published report.

This new analysis reflects AM Best’s extensive geographic reach and covers a wide array of (re)insurance groups operating across Latin America. These AM Best-rated entities include a variety of company types and market environments—mature and emerging—composed of reinsurers, primary insurers, mutuals, captives, credit and health insurers. Brazil, Chile, Mexico and Panama are recognized as the more mature insurance markets.

According to the Best’s Special Report, titled, “Latin America’s 2024 Issuer Credit Ratings’ Upgrades Underpinned by Mature Markets,” more than half of AM Best’s rated population in Latin America is made up of non-life insurers domiciled in mature insurance markets, while another 18% are in emerging insurance markets. Reinsurance and life insurance companies account for about 15% each of AM Best’s rated companies, both of which skew toward mature insurance markets.

Among the report’s other highlights:

  • Nearly two-thirds of AM Best’s ratings in Latin America’s mature insurance markets have a Long-Term ICR of “a-” or higher, while more than 75% of emerging insurance market fall between an “a-” and “bbb.”
  • More than half of rated entities are domiciled in Brazil, Chile, Mexico and Panama. Chile, Mexico, and Panama have stable market segment outlooks, while the outlook for the Brazil reinsurance market is negative.
  • Nearly three quarters of rated insurers domiciled in Mexico that also hold a National Scale Rating (NSR) have the highest possible NSR of “aaa.MX”.
  • Favorable movement in all building block assessments were contributors to Long-Term ICR upgrades, but balance sheet strength and operating performance assessments were more frequent contributors.

To access the full copy of this Best’s Special Report, please visit http://www3.ambest.com/bestweek/purchase.asp?record_code=357941.

AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.

Copyright © 2025 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.

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