Spanish insurer unsettled by AM Best’s lowering of rating despite resilience to Greek crisis and volatile markets

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Spanish insurer Mapfre has hit out at the rating agencies after it was downgraded by AM Best.

Mapfre’s ability to honour its debts, or its issuer credit rating from AM Best, was downgraded to to a+ from aa-.

Mapfre believes it is in a good position because it operates primarily in the general insurance non-life sector, which is less volatile than other sectors of finance, and also the Greek debt hit is a manageable figure slightly lower than €50m.

It has also sold off underperforming parts of the business including a bank stake, nursing homes and real estate.

General manager Esterban Tejera said: “Rating agencies are in contradiction. They do their job analysing your figures but then they reduce your rating according to the rating of your country.”