Advertisement

GSIS requires minimum credit rating for bidders

State-run Government Service Insurance System is requiring a minimum credit rating of B+ for interested reinsurers who will join the pension fund’s bidding for reinsurance contracts.

“We needed to have a clearer perspective about credit risk because GSIS cedes part of its general insurance businesses to minimize exposure to risks. Thus, it is vital to set a minimum credit rating as a requirement for potential bidders of reinsurance contracts. In this way, we are confident that our reinsurers can meet their financial obligations when they fall due,” GSIS president and general manager Jesus Clint Aranas said.

“Our reinsurance contracts undergo public bidding. This is to ensure that all potential reinsurers, whether local or foreign, have access to a fair and transparent bidding process. The General Insurance Bidding and Awards Committee ensures that reinsurance accounts for bidding strictly adhere to the requirements for an open and competitive procurement process,“ Aranas added.

Topics: Government Service Insurance System , Jesus Clint Aranas , General Insurance Bidding and Awards Committee
COMMENT DISCLAIMER: Reader comments posted on this Web site are not in any way endorsed by Manila Standard. Comments are views by manilastandard.net readers who exercise their right to free expression and they do not necessarily represent or reflect the position or viewpoint of manilastandard.net. While reserving this publication’s right to delete comments that are deemed offensive, indecent or inconsistent with Manila Standard editorial standards, Manila Standard may not be held liable for any false information posted by readers in this comments section.
AdvertisementKPPI
Advertisement