AM Best has affirmed the Financial Strength Rating of B++ (Good) and the Long-Term Issuer Credit Rating of “bbb+” (Good) of Arab War Risks Insurance Syndicate (AWRIS) (Bahrain). The outlook of these Credit Ratings (ratings) is stable.

The ratings reflect AWRIS’ balance sheet strength, which AM Best assesses as very strong, as well as its strong operating performance, limited business profile and appropriate enterprise risk management.

AWRIS’ balance sheet strength is underpinned by its risk-adjusted capitalisation, which is comfortably in excess of the threshold required for the strongest assessment, as measured by Best’s Capital Adequacy Ratio (BCAR). The syndicate’s balance sheet strength assessment benefits from a relatively conservative investment allocation, low net underwriting leverage and prudent reserving practices. AM Best considers AWRIS to have a very high dependence on retrocession coverage in order to provide capacity to its members and manage potential volatility from large losses. Due to the company’s track record of robust underwriting profitability, combined with strong relationships with multiple reinsurance counterparties, AWRIS is expected to maintain its access to the reinsurance capacity it needs to support its business model. Given the nature of AWRIS’ operations and membership structure as a syndicate of (re)insurance companies in the Middle East and North Africa (MENA) region, the permanence of capital is considered a partially offsetting rating factor.

AWRIS has a track record of strong operating performance, demonstrated by a five-year (2021-2025) weighted average combined ratio and a return-on-equity ratio (ROE) of 68.2% and 8.2%, respectively. AWRIS’ underwriting performance has been supported by low loss ratios, demonstrated by a five-year weighted average loss ratio of 2.2%. The syndicate’s ROE metrics are considered supportive of the strong operating performance assessment given its high level of capitalisation. For half-year 2026, the syndicate reported a profit for the period of USD 11.6 million, including a net loss of USD 1.75 million arising from the ongoing conflict in the region. The results for half-year 2026 show an improvement over half-year 2025 across both underwriting and investment income.

AWRIS has an established position as a niche underwriter of marine war risks across the MENA region for its members. As a specialist operator, AM Best views the syndicate’s concentration by line of business as an offsetting rating factor. The syndicate has recorded substantial premium growth in 2026 due to increased war premium rates and demand, given the ongoing conflict in the region. While premium income is well-diversified across a number of members, with AWRIS having gained new members in recent years, the company’s scale remains limited by international standards.

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.

View source version on businesswire.com: https://www.businesswire.com/news/home/20261111019994/en/

Naz Botea, ACA
Senior Financial Analyst
+44 20 7397 0313
naz.botea@ambest.com

Jessica Botelho-Young, CA
Director, Analytics
+44 20 7397 0310
jessica.botelho-young@ambest.com

Christopher Sharkey
Associate Director, Public Relations
+1 908 882 2310
christopher.sharkey@ambest.com

Al Slavin
Senior Public Relations Specialist
+1 908 882 2318
al.slavin@ambest.com

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