Al Ahleia Insurance Company (Al Ahleia) has a track record of strong operating performance, reporting improved pre-tax profits over the past five years, reaching KWD29m ($95m) in 2025, equivalent to a return-on-equity ratio of 16%, reported AM Best.
Profitability has been underpinned by good underwriting results, with Al Ahleia achieving a consolidated net-net combined ratio of 88% in 2025, as calculated by AM Best. This reflects strong performance from the company’s direct operations in Kuwait and the improved results reported by its largest subsidiary, Kuwait Reinsurance Company (Kuwait Re).
Ratings affirmed
AM Best has affirmed Al Ahleia’s Financial Strength Rating of ‘A’ (Excellent) and Long-Term Issuer Credit Rating of ‘a’ (Excellent). The outlook of these credit ratings is ‘Stable’.
The ratings reflect Al Ahleia’s balance sheet strength, which AM Best assesses as very strong, as well as its strong operating performance, neutral business profile and appropriate enterprise risk management.
Al Ahleia’s consolidated balance sheet strength is underpinned by its risk-adjusted capitalisation assessed at the strongest level, as measured by Best’s Capital Adequacy Ratio (BCAR). The balance sheet strength assessment is further supported by Al Ahleia’s robust organic capital generation and the development of significant reserve buffers.
Moreover, Al Ahleia’s exposure to higher-risk assets has declined steadily over the past five years, with the company reinvesting in cash and fixed income instruments. At year-end 2025, holdings of higher-risk assets (equities, managed funds, real estate, and investments in associates) comprised 22% of total investments, down from almost 40% in 2020.
Business profile
Al Ahleia’s business profile reflects its established position as a top-tier insurer in Kuwait’s insurance market. The group achieves geographical diversification through its reinsurance operation, Kuwait Re. On a consolidated basis, Al Ahleia generated consolidated insurance revenue of KWD140m in 2025, an increase of 6% against the prior year.
Al Ahleia continues to secure strong backing from major rating agencies. AM Best’s rating affirmation follows a June 2026 move by S&P Global Ratings, which affirmed in June 2026 its 'A-' global scale issuer credit and financial strength ratings on the insurer while upgrading its outlook from ‘Stable’ to ‘Positive’.