Insurance House registers 28% increase in net profit

Last updated on May 4, 2021 at 03.20 pm

Insurance House (IH) registered a 28 per cent increase in net profit to reach Dh4.01 million in the first three months of 2021, compared to a net profit of Dh3.14 million registered in the corresponding period of the previous year, demonstrating a robust performance that affirms its position in the insurance sector.

“Insurance House’s noticeable increase in net profits allows it to maintain its strong position in the sector and confirms that it is well positioned to take advantage of the predicted upswing in economic activity,” Mohammed Abdulla Alqubaisi, chairman of Insurance House.

“We are optimistic that business in the UAE will gather further momentum throughout the remainder of the year,” Alqubaisi added.

Insurance House’s liquidity position continues to be extremely robust, with cash equivalents and fixed deposits with rated financial institutions account for nearly 19.28 per cent of total assets as of March 31, 2021.

Insurance House’s net premiums earned during the first three months of the year held steady at Dh36.90 million, while its net underwriting income reached Dh11.73 million, and net claims incurred accounted for Dh19.91 million.

In the first 3 months of 2021, general and administrative expenses were broadly in line with our expenditure budget and lower by nearly 10 per cent compared to the same period of the previous year. More initiatives are underway to streamline expenses even further.

Mohammed Othman, chief executive officer of Insurance House, said: “Our strategy is to complete on the basis of innovative product offerings and superior service quality. We continue to remain focused on improving our digital service delivery capabilities across all business lines. Going forward, profits from core insurance activities will be driven by improved digital service delivery capabilities, continuous fine-tuning of risk underwriting techniques and enhanced claims management processes.”