AM Best Affirms Credit Ratings of Grupo Nacional Provincial S.A.B.

JANUARY 09, 2026 09:51 AM (EST)

AM Best Affirms Credit Ratings of Grupo Nacional Provincial S.A.B.

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FOR IMMEDIATE RELEASE

MEXICO CITY - JANUARY 09, 2026 09:51 AM (EST)
AM Best has affirmed the Financial Strength Rating of A (Excellent), the Long-Term Issuer Credit Rating of "a" (Excellent) and the Mexico National Scale Rating of "aaa.MX" (Exceptional) of Grupo Nacional Provincial S.A.B. (GNP) (Mexico City, Mexico). The outlook of these Credit Ratings (ratings) is stable.

The ratings reflect GNP's balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, favorable business profile and appropriate enterprise risk management (ERM).

GNP is a Mexico-focused insurance company with over 120 years of experience and a strong track record in its domestic market. The company is a market leader in terms of gross premiums written (GPW) and continues to expand its market share across the lines of business in which it participates. GNP operates as a composite insurer of life and non-life products, with solid position in its core business segments including life, health and automobile coverage. The company's portfolio is concentrated in Mexico and as of year-end 2024, is distributed by GPW as follows: health (35%); life (34%), automobile (26%) and property/casualty (5%). This portfolio is supported by an extensive distribution network that includes agents, brokers and massive public and private channels. Due to the diversified product base, solid market position and extensive national distribution network, AM Best assesses GNP's business profile as favorable.

GNP's balance sheet strength is underpinned by its very strong level of risk-adjusted capitalization, as measured by Best's Capital Adequacy Ratio (BCAR). Dividend payments, driven by the company's targets on capital efficiency, have partially restricted AM Best's view of GNP's risk-adjusted capitalization in the past. However, in recent years, GNP's balance sheet strength has been assessed as very strong, having benefited from additional equity surplus due to changes in statutory accounting at year-end 2016, and positive bottom-line results since 2016.

The additional equity surplus reflects GNP's adoption of accounting measures based on market value approximations of assets and liabilities. GNP follows conservative asset-liability management practices, supported by a prudently diversified investment portfolio primarily allocated in fixed income securities. In addition, the company's balance sheet strength is reinforced by its good reinsurance program placed with highly rated counterparties, which protects the company's risk retention adequately.

As of year-end 2024, GNP reported a 17% increase in GPW driven by growth across all lines of business. Despite this sound performance, net income declined by 11.1%, primarily reflecting higher claims in its core medical segment and broader increases in healthcare-related costs. The investment operation continued to play a key role in supporting earnings stability.

As of September 2025, GNP maintains a growth trajectory, reflected in a 12% increase in gross written premiums during the third quarter of 2025 compared with the same period of 2024. Net income in the nine-month 2025 period increased by 20%, supported by adequate underwriting results, stable investment income and improved claims experience, particularly in the automobile and group medical expense segments. Looking ahead to end-year 2025, while operating efficiencies may be more challenging to sustain, AM Best considers GNP's management team to be well-positioned to maintain solid profitability and support continued growth.

AM Best considers GNP's ERM to be adequate, supported by the use of economic capital models to quantify aggregate risk and make strategic business decisions. In addition, risk tolerance is measured through solvency capital requirements and maximum retention limits and is monitored on an ongoing basis.

Negative rating actions could take place if GNP's risk-adjusted capitalization and balance sheet strength deteriorate to a point that they no longer support its current ratings, driven either by sustained negative operating performance or cash outflows that significantly erode the company's capital base. No positive rating actions are foreseen in the short term; however, this could occur if the company attains sustained improvements in its operating performance.

The methodology used in determining these ratings is Best's Credit Rating Methodology (Version Aug. 29, 2024), which provides a comprehensive explanation of AM Best's rating process and contains the different rating criteria employed in the rating process. Best's Credit Rating Methodology can be found at www.ambest.com/ratings/methodology.

Key insurance criteria reports utilized:

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• Available Capital and Insurance Holding Company Analysis (Version Sept. 18, 2025)
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• Best's National Scale Ratings (Version July 31, 2025)
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• Catastrophe Analysis in AM Best Ratings (Version Feb. 8, 2024)
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• Evaluating Country Risk (Version June 6, 2024)
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• Scoring and Assessing Innovation (Version Feb. 20, 2025)
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• Understanding Global BCAR (Version Sept. 18, 2025)
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View a general description of the policies and procedures used to determine credit ratings. For information on the meaning of ratings, structure, voting and the committee process for determining the ratings and monitoring activities, relevant sources of information and the frequency for updating ratings, please refer to Guide to Best's Credit Ratings.

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• Previous Rating Date: Jan. 23, 2025
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• Initial Rating Date: Oct. 30, 2007
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• Date Range of Financial Data Used: Dec. 31, 2019-Sept. 30, 2025
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Ratings are communicated to rated entities prior to publication. Unless stated otherwise, the ratings were not amended subsequent to that communication.

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AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City.