Malayan Insurance outlook stable as earnings supported by investment income

AM Best emphasised continued underwriting volatility from catastrophe and large loss events.

AM Best expects Malayan Insurance Co., Inc.’s underwriting profitability to improve through portfolio remediation measures but warned the outlook remains subject to execution risk.

AM Best highlighted continued underwriting volatility from catastrophe and large loss events, with Malayan reporting underwriting losses in three of the past five years and a five-year average combined ratio of 105.6%. 

Losses extended into 2024 and the first half of 2025, although investment income continues to support overall earnings.

Malayan’s balance sheet strength is backed by its strongest-level risk-adjusted capitalisation, though sensitive to severe catastrophe events and reliant on reinsurance. 

The insurer remains one of the Philippines’ largest non-life players and is pursuing digital transformation under the Yuchengco Group.