Financial strength rating & solvency ratio

Financial strength rating and solvency

Under the Solvency Standards, Pacific is required to retain a positive solvency margin. In Pacific’s latest solvency return filed with APRA and the RBNZ, Pacific’s Solvency Margin as at 30 June 2026 Annual return was:

Actual solvency capital

AUD $144,411,298

Solvency margin

AUD $78,366,469

Minimum solvency capital

AUD $66,044,829

Solvency ratio

218.66%

Pacific uses Tier 1 capital. As an overseas insurer carrying on insurance business in New Zealand, Pacific makes this disclosure in accordance with the Insurance (Prudential Supervision) Act 2010. Australian law gives priority to Australian policyholders over New Zealand policyholders in the unlikely event that Pacific were wound up.

Pacific is incorporated and holds an Australian financial services licence 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”).

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

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.

Regulatory information

Pacific International Insurance Pty Ltd (ABN 83 169 311 193) is an Australian insurance company registered under the Corporations Act 2001. We are authorised by the Australian Prudential Regulation Authority to carry on general insurance business in Australia and hold Australian Financial Services Licence 523921 issued by ASIC. We are also a licensed insurer under New Zealand’s Insurance (Prudential Supervision) Act 2010, supervised by the Reserve Bank of New Zealand, and carry on insurance business in New Zealand through our New Zealand branch. Read about our financial strength rating and solvency ratio.