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A.M. Best Places Credit Ratings of Halyk-Life, Life Insurance Subsidiary Company of the Halyk Bank of Kazakhstan, JSC Under Review With Developing Implications

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A.M. Best has placed under review with developing implications
the Financial Strength Rating of B+ (Good) and the Long-Term Issuer
Credit Rating of "bbb-" of Halyk-Life, Life Insurance Subsidiary Company
of the Halyk Bank of Kazakhstan, JSC (Halyk-Life) (Kazakhstan).

These Credit Rating (rating) actions follow the announcement on 15
August 2018, of the company's shareholder decision to merge its sister
insurer, Kazkommerts Life Insurance Company, JSC (Kazkommerts Life),
into Halyk-Life. The decision to merge follows the 2017 acquisition of
JSC Kazkommertsbank, Kazkommerts Life's parent, by JSC Halyk Bank,
Halyk-Life's parent. The merger is subject to regulatory approvals and
is expected to complete by early 2019.

In addition, there is material uncertainty as to the impact on the
company's prospective revenue, pre-tax earnings and market position of
recent regulatory changes that prevent the company from reinsuring
workers' compensation business with local non-life insurers, as well as
the decision by a key distribution partner to gradually shift its
business to another insurer.

The ratings will remain under review until A.M. Best has completed its
evaluation of the impact of these events on the company's rating
fundamentals and the merger transaction has closed.

This press release relates to Credit Ratings that have been published
on A.M. Best's website. For all rating information relating to the
release and pertinent disclosures, including details of the office
responsible for issuing each of the individual ratings referenced in
this release, please see A.M. Best's
Recent
Rating Activity
web page. For additional information
regarding the use and limitations of Credit Rating opinions, please view
Understanding
Best's Credit Ratings
. For information on the proper media
use of Best's Credit Ratings and A.M. Best press releases, please view
Guide
for Media - Proper Use of Best's Credit Ratings and A.M. Best Rating
Action Press Releases
.

A.M. Best is a global rating agency and information provider with a
unique focus on the insurance industry. Visit
www.ambest.com
for more information
.

Copyright © 2018 by A.M. Best Rating Services, Inc. and/or its
affiliates. ALL RIGHTS RESERVED.

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