JAPAN’S MEIJI YASUDA CREDIT RATINGS AFFIRMED SUPERIOR - AM BEST

KUALA LUMPUR, Jan 23 (Bernama) -- Global credit rating agency, AM Best has affirmed the financial strength rating of A+ (Superior) and the long-term issuer credit rating of “aa-” (Superior) of Japan’s Meiji Yasuda Life Insurance Company (Meiji Yasuda).

The outlook of these credit ratings (ratings) is stable, reflecting Meiji Yasuda’s balance sheet strength, which AM Best assesses as strongest, as well as its strong operating performance, favourable business profile and appropriate enterprise risk management.

Meiji Yasuda’s balance sheet strength assessment is underpinned by its risk-adjusted capitalisation at the strongest level, as measured by Best’s Capital Adequacy Ratio, and is supported further by its solid capital base and conservative financial leverage.

Following market-driven fluctuations in unrealised gains on securities, the company’s absolute capital retreated from its peak of 5.8 trillion Japanese yen between March 2024 and March 2025, though it had since recovered by September 2025. (100 Japanese yen = RM2.54)

According to AM Best in a statement, Meiji Yasuda’s substantial equity holdings continue to present a degree of equity risk; however, the company possesses ample capital buffers to absorb such risks.

Capital management is conducted through a disciplined framework incorporating economic-based metrics such as the economic solvency ratio and group surplus, complemented by a sound asset-liability management strategy.

In the fiscal year ended March 31, 2025 (fiscal year 2024), Meiji Yasuda delivered a strong and resilient operating performance, with consolidated insurance premiums of 3.4 trillion Japanese yen and a base profit of 626 billion Japanese yen, supported by higher investment-related gains and a stronger contribution from its overseas operations.

One of Japan’s largest private life insurance companies, Meiji Yasuda maintains a leading position in the domestic group insurance segment. Its ongoing efforts to improve the quality and productivity of the agency channel and strong sales of the bancassurance channel continue to support revenue growth and its position in the domestic market.

-- BERNAMA