PACRA Upgrades IFS Rating of Dawood Family Takaful Limited
Lahore, June 21, 2019 (PPI-OT): The rating denotes strong capacity of the company to meet policyholder and contractual obligations. The rating reflects DFTL’s ability to continue capturing takaful volumes. The company has achieved net profitability position, though sustainability is required. The company is also eyeing bancassurance as an additional source of contribution.
A sound IT infrastructure provides support to the operational efficacy of DFTL. The company has adequate risk absorption capacity. The management aims to establish strong footprints in the South region in order to garner increased business. The company needs to further strengthen its market position. The rating captures the resilience of the company over the years; the company has gradually expanded it’s wings.
The rating is dependent upon continued improvement in the company’s system share, surplus in takaful fund and sustained liquidity position. At the same time, upholding strong governance practices is critical. The sponsors’ financial profile was relatively stretched, which is now improving.
For more information, contact:
The Pakistan Credit Rating Agency Limited (PACRA)
Awami Complex, FB1, Usman Block New Garden Town,
Lahore – Pakistan
Tel: +9242 586 9504 -6
Fax: +9242 583 0425
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