Uganda’s top and most reliable insurance firm, Goldstar Insurance Company Limited, has reaffirmed its national financial strength rating of AA(UG) with a Stable Outlook from GCR Ratings, a leading credit rating agency affiliated with Moody’s.
The announcement places Goldstar among Uganda’s most reliable and financially sound insurers, underlining its robust capital base, consistent liquidity, and disciplined risk management.
The AA(UG) rating is considered a strong indicator of an insurer’s ability to meet its obligations, particularly in timely claims settlement.
According to GCR’s latest review, Goldstar closed the 2024 financial year with a capital base of UGX 41.3 billion, and a capital adequacy ratio of 4.0 times, twice the regulatory minimum.
Liquidity coverage stood at 3.0 times, reflecting the company’s ability to meet short-term obligations with ease.
Despite increased claims in certain business lines, Goldstar recorded a competitive combined ratio of 88.1 percent and a return on revenue of 23.2 percent. The company also posted a 32.3 percent increase in insurance revenue, supported by continued growth in key segments including motor and aviation.
GCR said these financial fundamentals reinforce the company’s ability to absorb shocks and maintain a reliable track record of claims settlement and earnings consistency.
Goldstar, which is marking over 30 years of service, said the reaffirmed rating demonstrates its long-standing commitment to sound business practices, transparency, and customer protection.
“I am pleased to announce that GCR has maintained our credit rating AA with a positive outlook. This rating, whose contributing factors comprise, among others, financial stability, underwriting performance, claims handling, risk management, and customer satisfaction, is once again a confirmation of our prudent management of the business with the customer at the centre,” said Mr John Kawuma, Goldstar’s Chief Executive Officer.
The firm’s Chief Actuary, Mr Jay Sakaria, also welcomed the rating, describing it as a vital reflection of the company’s financial health and resilience. “A strong credit rating is a vital measure of an insurer’s financial health and stability. The reaffirmation of Goldstar Insurance’s AA(UG) rating by GCR reflects our disciplined capital management, robust liquidity position, and consistent earnings performance,” he said.
“This rating is not just a mark of our past achievements; it is a forward-looking assurance to our policyholders, brokers, and business partners that Goldstar is well-positioned to meet its obligations, even in times of uncertainty. It speaks to our resilience, our commitment to long-term value, and the confidence stakeholders can place in us,” he added, reaffirming that the rating should be seen as a forward-looking assurance to policyholders, brokers, and business partners that Goldstar remains well-positioned to meet its obligations, even during uncertain periods.
GCR Ratings, which is part of the Moody’s network, observed that the stable outlook signals confidence in Goldstar’s continued earnings momentum, resilience under pressure, and the strength of its asset and operational management.
