Freedom Finance Insurance JSC, a subsidiary of Nasdaq-listed Freedom Holding Corp. (NASDAQ: FRHC), has received a credit rating upgrade from S&P Global Ratings, with its long-term issuer credit and financial strength ratings raised from 'BB-' to 'BB' with a stable outlook. The upgrade, announced on 11 November 2026, reflects the insurer's rapid rise through Kazakhstan's non-life insurance sector rankings, stronger capital position and improved operating performance. Investors tracking FNEWS and FRHC may note the upgrade as an indicator of the subsidiary's growing strategic importance within Freedom Holding's broader financial ecosystem across 24 countries.

Key Points

  • Freedom Finance Insurance JSC, subsidiary of Freedom Holding Corp. (NASDAQ: FRHC), referenced as FNEWS
  • S&P Global Ratings upgrades long-term issuer credit and financial strength ratings from 'BB-' to 'BB', stable outlook
  • Kazakhstan national-scale rating raised from 'kzA-' to 'kzA+'; capital reached KZT 52 billion (~$110 million) in 2026
  • Investors should watch whether Freedom Insurance narrows the gap with Kazakhstan's two largest non-life insurers

Freedom Finance Insurance Climbs from 11th to Third in Kazakhstan's Non-Life Insurance Market Since 2022

One of the central drivers of S&P's upgrade decision is Freedom Finance Insurance's remarkable competitive ascent within Kazakhstan. The company moved from 11th place to third place in the country's non-life insurance market between 2022 and 2026, with its market share rising to 9.7%. S&P Global Ratings also raised the insurer's Kazakhstan national-scale rating from 'kzA-' to 'kzA+', citing a stronger market position and improved operating performance. For the period 2026 to 2029, S&P forecasts a combined ratio of approximately 90% and annual net profit of between KZT 11 billion and KZT 16 billion.

Capital Base Grows to KZT 52 Billion as S&P Expects Risk-Based Adequacy Above 99.8% Threshold Through 2028

Freedom Finance Insurance's capital position has strengthened considerably, rising from KZT 35 billion (approximately $69 million) in 2025 to KZT 52 billion (approximately $110 million) in 2026, partly reflecting a KZT 8 billion capital injection during the year. S&P expects the insurer's risk-based capital adequacy to remain above its 99.8% confidence-level threshold through 2028. The agency also notes that the company's investment portfolio is conservative, comprising primarily Kazakhstan sovereign and quasi-sovereign securities with an average credit rating of 'BBB', supporting financial stability alongside growth.

S&P Classifies Freedom Insurance as Strategically Important to Freedom Holding Corp.'s 24-Country Financial Ecosystem

S&P continues to regard Freedom Finance Insurance as a strategically important subsidiary of Freedom Holding Corp., which owns the insurer through its Kazakhstan brokerage arm, Freedom Finance JSC. Insurance sits alongside banking, brokerage and other financial services within Freedom Holding's developing financial ecosystem, which also includes Freedom Bank, Freedom Broker, Freedom Life, Arbuz.kz, Freedom Ticketon and Aviata. Freedom Holding Corp. operates across 24 countries and its shares trade on NASDAQ, the Kazakhstan Stock Exchange and the Astana International Exchange under the ticker FRHC.

Stable Outlook Maintained but Closing the Gap with Kazakhstan's Two Largest Non-Life Insurers Remains Key Test

The stable outlook assigned by S&P reflects the agency's expectation that Freedom Insurance will continue strengthening its business over the next 12 months without placing undue pressure on its capital position. However, S&P notes that the insurer still has ground to close relative to Kazakhstan's two largest non-life insurance companies. Maintaining current profitability levels while continuing to expand will therefore remain a key challenge. The agency has indicated it could consider a further upgrade if Freedom Insurance significantly improves its competitive standing while keeping operating performance and capital adequacy aligned with expectations.