AM Best, the credit rating agency, has upgraded the Financial Strength Rating of FuSure Reinsurance Company Limited, a Hong Kong-based reinsurer owned by Tencent Holdings Limited, to A (Excellent) from A- (Excellent).
It has also raised the Long-Term Issuer Credit Ratings to “a” (Excellent) from “a-” (Excellent), with the outlook remaining stable. AM Best attributes the revised ratings to FuSure Reinsurance Company Limited’s improved credit profile.
According to AM Best, the ratings for FuSure Reinsurance Company Limited reflect a balance sheet strength assessment of very strong, supported by adequate operating performance, a neutral business profile, and appropriate enterprise risk management. AM Best also highlights that both implicit and explicit backing from Tencent Holdings Limited continues to be a key supporting factor in the ratings.
AM Best explains that the upgrade is primarily driven by strengthening capital levels at FuSure Reinsurance Company Limited, including two significant shareholder capital injections and expectations of further capital support over the medium term. The agency also notes that FuSure has executed its business strategy in a disciplined and consistent manner since its launch in 2021.
FuSure Reinsurance Company Limited, according to AM Best, has built its presence in health reinsurance across Greater China while benefitting from Tencent Holdings Limited’s support in areas such as distribution, innovation and product development.
Although health reinsurance remains its core line, AM Best notes that the company has gradually broadened its activities into long-term health reinsurance and commercial property reinsurance across the Asia-Pacific region, alongside wider diversification in products, markets, channels and clients. The company expects continued double-digit growth in net premiums written over the medium term.
AM Best states that FuSure Reinsurance Company Limited received a further HKD 1 billion capital injection in 2025, taking total capital and surplus to HKD 3.15 billion at year-end 2025, exceeding its initial five-year capital plan. The agency adds that risk-adjusted capitalisation remains at the strongest level based on Best’s Capital Adequacy Ratio, supported by a conservative reinsurance approach, high-quality retrocession partners and a liquid investment portfolio focused mainly on fixed income and cash instruments.
AM Best also notes that FuSure Reinsurance Company Limited has reported positive operating results since its second year of operation, consistently meeting its planned financial targets. In 2025, the company recorded a return on equity of 5.2%, and AM Best expects it to maintain mid-single-digit returns alongside double-digit premium growth between 2026 and 2028, supported mainly by steady investment income from its bond-heavy portfolio.
The agency further highlights that Tencent Holdings Limited continues to provide both direct financial support and broader group-level advantages to FuSure Reinsurance Company Limited, including through capital injections in 2023 and 2025. AM Best expects this support to remain an important factor in the company’s credit profile going forward.
AM Best notes that negative rating pressure could emerge if FuSure Reinsurance Company Limited materially departs from its business plan, resulting in weaker operating performance, or if support from Tencent Holdings Limited were to reduce. Conversely, positive rating movement could occur if the company’s performance strengthens significantly relative to peers.
