Himalayan Everest Insurance Assigned ‘A Minus’ Rating, Strong Financial Credibility

Kathmandu — Himalayan Everest Insurance has received another significant milestone in financial credibility and business strength as it continues its rapid expansion in Nepal’s non-life insurance sector. Credit rating agency ICRA Nepal has assigned the company an “ICRA NP-IR A Minus” rating.

According to ICRA Nepal’s assessment, Himalayan Everest Insurance is a company capable of meeting its financial obligations on time, with low credit risk and adequate underwriting capacity. The rating is expected to further strengthen trust among customers, investors, and business partners.

Following the successful merger between Himalayan General Insurance and Everest Insurance, the company has rapidly expanded its business and strengthened its position among leading non-life insurers in Nepal. ICRA Nepal noted that the merger of two companies with over two decades of experience has provided a strong capital base, an extensive branch network, experienced management, and a significant market share.

Post-merger, the company’s operational efficiency has improved significantly. With business expansion, better cost management, improved operational efficiency, and stronger underwriting performance, the company has demonstrated steady progress. Its average combined ratio of around 80 percent over the past three fiscal years (up to mid-July 2025) reflects strong risk management and a sustainable business strategy.

The company’s solvency position is also notably strong, standing at 4.38 times, well above the regulatory minimum requirement. This indicates strong capacity to absorb future risks. Given the strong growth potential in Nepal’s non-life insurance market, Himalayan Everest Insurance is being viewed as a company well-positioned for long-term gains.

ICRA Nepal has also positively assessed the company’s experienced management team and reinsurance arrangements. As the scale of business continues to grow, the company has been strengthening its risk management framework and improving catastrophe risk coverage. Its ability to handle claims arising from last year’s protests and floods has also been highlighted.

Despite large claim pressures, the company’s strong liquidity position, solid financial base, and reinsurance structure have played a key role in effective risk management. This reflects both its crisis-handling capacity and financial resilience.

The company is also expanding its presence in property and engineering insurance segments, which is expected to further diversify its business and strengthen its long-term revenue base. The rating positions Himalayan Everest Insurance as a financially strong, management-efficient company with solid long-term prospects.

The company’s head office is located in Babarmahal, Kathmandu. As of mid-July 2025, major shareholders include Mahendra Krishna Shrestha (8.5%), Bikram Krishna Shrestha (7.2%), Binod Krishna Shrestha (6.6%), Suvarna Krishna Shrestha (6.6%), Pankaj Jhunjhunwala (6.3%), Rajendra Kumar Khetan (4.9%), and Laxmi Sunrise Bank Limited (3.6%).

The company operates 85 branches across the country. It holds around 11% market share in total non-life insurance premium income, making it one of the leading non-life insurers in Nepal. The ownership structure between promoter and public shareholders stands at approximately 52:48.