QBE LMI achieves ‘A+’ S&P Global Rating

QBE Lenders' Mortgage Insurance (LMI) is pleased to announce its upgraded 'A+' rating from 'A', following the implementation of S&P Global Ratings' revised criteria for analysing insurers' risk-based capital.

The revised criteria positively impacted QBE LMI’s already strong capital adequacy, resulting in S&P upgrading its assessment of QBE LMI’s Financial Risk profile from Strong to Very Strong. S&P confirmed a stable ratings outlook and expectations that LMI “will maintain very strong capital and sound earnings”

Following the upgrade, QBE LMI will become the highest S&P rated private LMI provider in Australia.

Patricia Priest, General Manager of LMI at QBE Australia Pacific said the upgrade affirms QBE LMI’s commitment to providing reliable and robust mortgage insurance solutions.

"An upgrade to an 'A+' rating from S&P Global Ratings underscores the strength of our risk management, capital, reinsurance structure, diverse customer partnerships, geographic coverage, and strong parent company. This recognition not only reaffirms our commitment to delivering exceptional value to our partners and stakeholders, but also to maintaining our position as a market leading player in the LMI market in Australia."

Several key factors that contributed to the enhanced rating, include:

• Effective quota share reinsurance structure: QBE LMI’s upgraded rating recognises the effectiveness of its quota share reinsurance structure enhancing its capacity and ability to withstand stress.
• Strong parental support: The ‘A+’ rating of QBE, its diversified global general insurance parent, played a significant role in the improved rating.
• Prominent market share with diversified customer base: QBE LMI's diverse partnerships including major banks, regional lenders, international banks, and a leading share of customer owned authorised deposit-taking institutions (ADIs).

More information on QBE LMI’s S&P Global Rating can be found via the S&P Global Rating website.

For more information:

Alyssia El Gawly
External Communications Specialist
QBE Australia
+61 418 234 346
Email: [email protected]