...Sovereign Rating Outlook Negative: The environmental problems that drive the Negative Outlook on the South African sovereign (see South Africa) represent the biggest risk to the international ratings of South African-based insurance groups. The Negative Outlook reflects, in particular, weak economic growth that is constraining living standards. Fitch Ratings expects this to put pressure on insurers' financial performance. National Scale Rating Outlooks Stable: Most non-life insurers' national-scale rating Outlooks are Stable. This reflects the resilience of the industry to the difficult operating conditions and the stability of individual insurers' relative creditworthiness, driven by strong solvency, maintained market share and likely improvement in underwriting profitability. Underwriting Profitability to Recover: Fitch expects insurers' results for 2014 to have improved from 2013, reflecting better underwriting conditions and an absence of large loss events. Fitch expects underwriting...
