Mapfre S.A.

The stable outlook is based on our expectation that the group will take advantage of a recovery in the Spanish economy, partly offset by challenges in its Latin American operations. That said, the group's strong diversification by country and business lines will likely diminish the negative impact, supporting its leading position in its main markets. We also expect that the group will keep its capital position comfortably at the 'A' level, according to our capital model, backed by sound earnings and supporting Mapfre's growth and dividend targets. We could downgrade the group over the next 24 months if: Capitalization declined sustainably below our threshold for the 'A' level, based on our capital model. This could result from severe combined global

...S&P Global Ratings expects Mapfre Group will maintain its top ranking in the insurance markets of Spain and select Latin American countries. Mapfre is a well-established international insurance group that benefits from a strong brand name, a multichannel distribution strategy, and diversification by business line and geography. Mapfre's implementation of its strategic plan has enhanced the underlying profitability of its underperforming lines, mainly in Brazil and the U.S., and added diversity to the group's overall earnings. However, the group's distribution capabilities in the Spanish life operations have been dampened by the loss of bancassurance agreements in recent years. Premium growth in the domestic property and casualty (P/C) and reinsurance business will be partly offset by a difficult business environment in Latin America and the Spanish life business in 2021, but we expect technical results will remain strong. We believe that an enhancing economic environment in its domestic...

Full Report