ICRA Nepal Reaffirms Crest Micro Life Insurance’s Double B Rating

Kathmandu – Investment Information and Credit Rating Agency (ICRA) Nepal has reaffirmed the issuer rating of Crest Micro Life Insurance Limited, assigning the company an ICRANP-IR Double B rating. The rating indicates that Crest has adequate capacity to meet its financial obligations, though external risks and market challenges may pose a moderate level of risk. Investors and policyholders can expect long-term stability from the company.

Crest’s strong institutional backing has bolstered its positive outlook. Himalayan Reinsurance Limited, the largest promoter, currently holds about 15 percent of the company’s shares, reduced from 21 percent after the company’s initial public offering (IPO) in March 2025.

The company operates through 23 branches across Nepal and focuses primarily on institutional and debt-linked insurance plans, which contributed roughly 68 percent of its first-year premium income in fiscal year 2025. Crest has also expanded its agent network to approximately 1,400 agents as of mid-July 2025.

In addition to branch and agent expansion, Crest has strengthened its wholesale investment business by collaborating with cooperatives and microfinance institutions. Following the IPO, the company’s capitalization profile has also improved, creating a solid foundation for future growth.

Term insurance continues to be the company’s major revenue contributor, accounting for about 71 percent of its product structure income. According to ICRA Nepal, Crest’s ability to scale its business in a competitive market while managing an increase in claims payout ratio will be critical in sustaining its rating.