AM Best has upgraded its outlook for Guild Insurance from stable to positive. 

The agency has also affirmed the insurer’s A- (Excellent) financial strength rating and A- issuer credit rating.

The change in outlook reflects the Pharmacy Guild-owned company’s efforts to improve earnings through remedial underwriting, product rationalisation and process improvement.

However, AM Best says profitability remains to be seen following the transformation to a broadly based mid-tier commercial insurance company targeting new distribution channels.