Sompo Singapore to bolster regional strategy – S&P Global

The company is unlikely to be divested by the group, says S&P Global.

Sompo Singapore is expected to sustain profitability by leveraging stable Japanese accounts whilst expanding its portfolio in Singapore and regional commercial lines, S&P Global Ratings said. 

Through a focus on risk selection, data-driven fraud detection, and operational efficiency enhancements, the insurer aims to maintain modest underwriting performance through 2024, supporting the group's growth ambitions in the region.

The stable outlook on Sompo Singapore mirrors the stable outlook on the core entities of Sompo Group, reflecting S&P's expectation that the insurer will remain a highly strategic subsidiary over the next two years. 

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Sompo Singapore's importance to the Sompo Group is underscored by its integral role in the group's business strategy across Asia. S&P said the Singapore subsidiary bolsters the group's regional presence while facilitating expansion into commercial and specialty lines across the Asia-Pacific region over the next five years.

Supported by the group's branding and resources, Sompo Singapore is poised to maintain its position in Singapore's competitive property and casualty insurance market.

Despite its modest contributions to group capital and earnings, the company is unlikely to be divested by the group, indicating a commitment to its long-term strategic vision.