Kuala Lampur:Guangxi: Global credit rating agency AM Best has assigned a B++ (Good) financial strength rating and a 'bbb+' (Good) long-term issuer credit rating to Beibu Gulf Property and Casualty Insurance Company Ltd, known as Beibu Gulf Insurance.
According to BERNAMA News Agency, the rating outlook is stable, reflecting Beibu Gulf Insurance's strong balance sheet, adequate operating performance, neutral business profile, and appropriate enterprise risk management. The company, headquartered in Guangxi province, China, was established in 2013 through a partnership of 10 state-owned enterprise shareholders and three private sector investors.
Guangxi Investment Group Co Ltd, a provincial-level state-owned capital investment company, is the ultimate controlling shareholder, holding a 29.73 percent equity stake through its subsidiaries. Beibu Gulf Insurance, while a small-to-medium-sized non-life insurer in China, commands a significant presence in Guangxi province, capturing nine percent of the local market share by premium income in 2025. Its product mix is diverse, with motor insurance representing nearly half of its gross written premiums.
The company leverages strong relationships with its shareholders and local governments to secure business opportunities in policy-driven agricultural insurance and has been expanding its liability lines in recent years. Its strong balance sheet strength is supported by the strongest level of risk-adjusted capitalization as of year-end 2025, based on Best's Capital Adequacy Ratio, and is buoyed by organic capital accumulation and careful expansion in underwriting and investment risks.
After experiencing net losses for two years, Beibu Gulf Insurance returned to profitability in 2023, achieving a mid-single-digit return on equity in both 2024 and 2025. AM Best noted that the company maintains a well-diversified and liquid investment portfolio, mainly consisting of bonds, fixed-income wealth management instruments, and cash, which generated a low single-digit investment return above the domestic non-life industry average in 2025.