Suncorp has scored an A+ in its latest credit rating from Standard & Poor’s (S&P), which credits the bancassurer with astute management in adverse trading conditions.

S&P has affirmed an A+ rating on Suncorp and its core operating companies, and noted sound progress in the integration of Promina and good premium growth and reinsurance management.

It’s welcome news for Suncorp after the company recorded a 28% drop in net profit to $382 million in the second half of last year.

But S&P says the insurer remains in good fiscal shape despite challenging weather and financial market conditions.

S&P analyst Mark Legge says $325 million of annualised synergies from the $7.9 billion Promina acquisition should be realised by the end of fiscal year 2009 which is earlier than anticipated.

“During the integration period to date, Suncorp has not seen any increase in client attrition, while reinsurance protection has been appropriately managed,” he said.

Suncorp’s banking division also received a clean bill of health.

S&P says another upgrade is possible within six to 18 months, should weather volatility subside and the group continue to improve earnings.