...Premiums Increase, Profitability Improves The Mexican insurance and surety sector nominally grew 119% in written premiums as of June 2015 compared with June 2014. The advance was due to the biannual PEMEX policy, which was underwritten in second-quarter 2015 and not during the third quarter, as in previous years. The sector's growth, excluding the PEMEX policy, was 5.1% as of June 2015. During first-half 2015, the combined ratio (103%) was slightly lower than the same period of 2014 (105%), due to an improvement in the claims ratio (72% in June 2015 compared with 75% in June 2014). For year-end 2015, Fitch Ratings expects a combined ratio similar to first-half 2015's, benefitting from a stable claims level but factoring in no catastrophic events and maintaining operational costs amid new regulatory framework implementation. Insurance and Surety Net Results Prevail Results to equity was 39.7% in June 2015, identical to the same period of 2014. Despite the claims ratio decline, operational...
