AM Best has revised the outlooks to stable from positive and affirmed the Financial Strength Rating of B (Fair) and the Long-Term Issuer Credit Rating of “bb+” (Fair) of WAICA Reinsurance Corporation PLC (WAICA Re) (Sierra Leone).

The Credit Ratings (ratings) reflect WAICA Re’s balance sheet strength, which AM Best assesses as strong, as well as its strong operating performance, neutral business profile and marginal enterprise risk management.

The revision of the outlooks to stable from positive considers weakening of the company’s balance sheet strength fundamentals. WAICA Re’s balance sheet strength is underpinned by risk-adjusted capitalisation as measured by Best’s Capital Adequacy Ratio (BCAR), which was at the strongest level at year-end 2025. The buffer in the company’s risk-adjusted capitalisation in excess of the strongest threshold level decreased materially at year-end 2025, due to growth in its real estate investments and the establishment of a banking subsidiary. In addition, WAICA Re remains exposed to significant economic, political and financial system risks, with the majority of its assets held in the sub-Saharan Africa region.

In 2026, WAICA Re secured a subordinated loan from ECOWAS Bank for Investment and Development for USD 50 million, which will enhance the liquidity of its investment portfolio. The company’s financial leverage and interest coverage are expected to remain stable in the medium term. In addition, the company’s risk-adjusted capitalisation, as measured by BCAR, is expected to partially recover in 2026, due to receiving equity credit for the subordinated debt and high earnings retention.

AM Best views WAICA Re’s operating performance as strong. The company has reported robust return-on-equity ratios in recent years that have significantly exceeded the benchmark interest rates in the markets where it operates. WAICA Re’s earnings are underpinned by a solid technical performance, reflecting the company’s expertise and underwriting discipline. AM Best expects WAICA Re’s prospective earnings to remain strong, albeit potentially volatile as the company supports start-up costs of its banking subsidiary.

WAICA Re is a composite reinsurer writing business in more than 90 countries across the globe, with a business profile benefitting from a well-diversified and profitable underwriting portfolio.

This press release relates to Credit Ratings that have been published on AM Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best’s Credit Ratings. For information on the proper use of Best’s Credit Ratings, Best’s Performance Assessments, Best’s Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best’s Ratings & Assessments.

AM Best is a global credit rating agency, news publisher and data analytics provider specialising 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 © 2026 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.

Media gallery

About The Author
Business Wire