AM Best, the global credit rating agency specializing in the insurance sector, has confirmed BMI’s “A-” (Excellent) financial strength rating and revised the Company’s outlook to “stable”.
This group rating includes Best Meridian Insurance Company (Miami, FL) and Best Meridian International Insurance Company, I.I. (San Juan, PR) (collectively known as “BMI” or the “Company”). Part of BMI Financial Group, Inc., BMI and its affiliates have a long track record of specializing in financial services, primarily offering life and health products throughout Latin America and parts of Asia.
AM Best’s affirmation of the rating and its revised outlook reflect BMI's favorable operational performance, financial stability, and sound risk management practices.
The opinion of AM Best also cites BMI’s stronger financial position, highlighting the strength of its balance sheet and the practical steps it has taken to navigate recent challenges.
A promising path forward
BMI’s financial strength has improved significantly, with a one-third increase in available capital since 2022, driven by consistent retained earnings and a healthy growth trajectory.
“We are proud and pleased with this affirmation of our rating and improved outlook, which demonstrates BMI's financial strength and recognizes our work to ensure the protection of each of our policyholders. Our deep knowledge of the Latin American market and consistent economic growth are our best calling cards,” Anthony Sierra, BMI´s Chief Executive Officer & Chairman of the Board, assured.
AM Best recognizes the Company's robust risk-adjusted capitalization as a key factor in its reaffirmed rating. This strong financial foundation signals BMI's ability to weather market fluctuations and adapt to changing conditions.
Steady performance, strategic adjustments
BMI’s operating performance has demonstrated resilience despite recent volatility. The Company quickly adapts, adjusting pricing, reinsurance plans, and cost containment measures to maintain profitability.
This proactive approach positions the Company well for continued success in its core business, including the fee revenue from its fronting business.
However, investment income remains somewhat unpredictable, with asset valuations impacting overall financial results. Yet, BMI is well-positioned to weather these challenges with a strategy focusing on conservative, investment-grade securities and low-risk equity holdings.
A stronghold in Latin America
With more than fifty years of history in Latin America and parts of Asia, and a deep understanding of its diverse markets, BMI provides universal life and private medical insurance across the region. The Company's strong customer retention rates reflect the high value of its offerings.
Despite the region's political and economic uncertainties, BMI has maintained a firm presence and reputation in this niche market, demonstrating its commitment to its clients. BMI's enterprise risk management (ERM) framework helps the Company remain agile, managing risk, and seizing opportunities confidently.
As BMI continues to build on its strong foundation, AM Best expects continued improvements and stability. The outlook upgrade highlights the Company's ability to adapt to challenges and stay on course for long-term success.
