Financial Strength Rating & Solvency Ratio

Pacific is incorporated and holds financial service licences in Australia (ABN 83 169 311 193 | AFSL 523921) and New Zealand (NZBN 94 290 413 565 00 | FSP 394846).

Pacific is regulated by the Australian Prudential Regulation Authority (“APRA”) and Reserve Bank of New Zealand (“RBNZ”).

Solvency Ratio

Under the Solvency Standards, Pacific is required to retain a positive solvency margin. In Pacific’s latest solvency return filed with the APRA and the RBNZ, Pacific’s Solvency Margin as at 31 December 2024 was:

Actual Solvency Capital: AUD $100,236,502
Minimum Solvency Capital: AUD $53,376,530
Solvency Margin: AUD $46,859,972
Solvency Ratio: 187.79%

Pacific uses Tier 1 Capital.

Financial Strength Rating

Pacific has a financial strength rating of B++ (Good) issued by A.M. Best. The rating is reviewed annually by A.M. Best, with the rating scale outlined below.

Rating Scale - FSR

Secure

A++ & A+	Superior
A & A-	Excellent
B++ & B+	Good

Vulnerable

B & B-	Fair
C++ & C+	Marginal
C & C-	Weak
D	Poor
E	Under Regulatory Supervision
F	In Liquidation
S	Suspended

For more information about the rating scale, process and methodology, click here.

Prudential Review

In response to a recent prudential review by its insurance regulator, Pacific International Insurance acknowledges APRA’s findings regarding opportunities to strengthen its governance of binder partners (delegated underwriting authority arrangements) to align with APRA’s risk management expectations.

Pacific has proactively initiated remedial action plans to address the findings to ensure sustainable improvements and ultimately provide the necessary independent assurance to APRA.

Pacific accepts the temporary adjustment to its Prescribed Capital Amount (PCA) via an additional $10 million operational risk charge – which reflects its commitment to meeting and exceeding industry standards in governance and risk management.