The rating on Tenet Sompo Insurance Pte. Ltd. (Tenet SJ) reflects the insurer's strategic importance to the Asia business of its parent, Sompo Japan Insurance Inc. (Sompo Japan: local currency A+/Stable/--). The rating also reflects Tenet SJ's moderately strong investment profile with good quality fixed income and good liquidity. The insurer's weakened operating performance, limited competitive position within Singapore's fragmented non-life insurance market, and significant reliance on reinsurance temper the above strengths. Our rating on Tenet SJ factors in three notches of support over the company's stand-alone credit profile but is a notch lower than the parent group rating. Tenet SJ receives explicit support from Sompo Japan through a net worth maintenance agreement under which the parent will maintain a
