APAC insurers brace for trade risks with strong capital buffers: S&P | Asian Business Review
, APAC
/Aksonsat Uanthoeng from Pexels

APAC insurers brace for trade risks with strong capital buffers: S&P

Shocks will be widespread but will not be evenly distributed across the sector.

Asia-Pacific insurers are facing new macro-financial risks stemming from escalating trade tensions, according to a report released today by S&P Global Ratings

The report, titled “Asia-Pacific Insurance Mid-Year Outlook 2025: Strong Capital Buffers Dampen Tariff-Induced Volatility," highlights that whilst the impact of these shocks will be widespread, the effects will not be evenly distributed across the sector.

Despite the mounting external pressures, insurers in the region are entering this period with solid capital adequacy and stable credit fundamentals, which are expected to cushion the impact of tighter credit conditions.

S&P’s base case for 2025 anticipates ratings stability. However, the agency notes that several variables could still influence insurers' credit profiles.

These include fluctuations in investment valuations, volatility in foreign exchange markets, and supply chain disruptions tied to trade-related developments.
 

Follow the link s for more news on

Join Asian Business Review community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!