OREANDA-NEWS. National Rating Agency has lowered its reliability rating on AURORA-GARANT IC LLC to ‘B+’.

The rating downgrade reflects the company’s authorized capital decrease to RUB150 million from RUB480 million, its decision to relinquish its reinsurance license, very high level of receivables (82% as of Apr. 1, 2015) and the regulator-imposed sanctions. Additionally, AURORA-GARANT’s insurance portfolio is poorly balanced (voluntary health insurance accounts for 95% of direct insurance premiums).

According to AURORA-GARANT’s financials, it wrote RUB878.5 million in premium in 2014 and RUB239.8 million in 1Q 2015. Its claim payments totaled RUB280.3 million in 2014 and RUB77.2 million in 1Q 2015.