property/casualty industry's net underwriting income
declined by 9.6% to $4.8 billion in the first half of 2019, compared with $5.3 billion in the same prior-year period, A.M.
The group reported adequate pre-tax operating earnings that outperformed the property industry composite over the most-recent five-year period, with operating earnings driven by underwriting income
over the long term.
The division booked $147 million in underwriting income
for the 2019 second quarter, compared to an $89 million loss over the same period a year ago.
Net income among nonlife insurers amounted to P1.04 billion, expanding by 121 percent from the P470 million reported last year, which can be attributed to huge increases in premiums earned, commissions earned and other underwriting income
Operations, an improvement in our expense ratio, and a 26.6% increase in our underwriting income
. We expect our strategy to continue to deliver superior and sustainable returns to shareholders."
Gross written premiums saw a growth of eight per cent year on year to reach Dh351.018 million in 2018, while net underwriting income
saw a 20 per cent growth year on year to reach Dh53.29 million in 2018.
The Group's net underwriting income
steeply increased to QR576 million against QR115 million in 2017, the third quarter of which saw a devastating series of major hurricanes in US (Harvey, Irma, Maria).
For many years, insurers regularly altered their mix of taxable and tax-exempt bonds to maximize their after-tax net income in response to forecast changes in underwriting income
Fixed-charge coverage improved through six months 2018 to 5.3x, up from 4.4x for the same period in 2017 as operating earnings benefited from increased underwriting income
that more than offset a modest increase in interest expense over the prior year, following the issuance of subordinated notes in 2018.
Summary: Net underwriting income
increased by 27.5% to Dh304.7m
Due to lower claims and marginal increase in expenses, underwriting income
of the company improved to Rs191million during the period under review.
'The life insurance sector posted an increase of 31.16 percent to P6.31 billion from P4.81 billion during the same period which was brought about mainly by the remarkable increases in premium income, underwriting income
, and gross investment income,' Funa said.