The Emirates Insurance Company (EIC) posted net profits of 27.9 million Emirati dirhams ($7.59 million) for the first half of 2001. This reflects a 41.76 percent increase from the corresponding period of the previous year.
"There has been more business in the UAE this year with the insurance sector expecting to post better year-end results," Mamun Ali Dungula, assistant general manager finance and administration, told the Gulf News, adding that “International business also helped growth in profit due to better rates overseas”.
The company’s net income from insurance operations grew from Dh 8.5 million to Dh 11 million during the same period, reported Al-Ittihad daily. EIC’s income from investment operations rose as well, from Dh 10.6 million to Dh 17.3 million during the same period. Total assets have grown to Dh299.12 million ending June 2001 from Dh290.8 million as at end-2000.
Between January and June 2001, gross premiums underwritten increased to Dh84.9 million, compared to Dh73.6 million for the same period of last year, while net claims incurred have risen to Dh12.46 million, up from Dh9.9 million during the corresponding period in 2000.
EIC reported Q1 net income of Dh18.39 million, slightly higher than Q1 2000 figure, which stood at Dh18.24 million. Insurance income dropped by over 50 percent to Dh 5.86 million, while investment income rose by 142 percent to Dh12.86 million.
EIC's net profit for full-year 2000 rose only 0.57 percent, posting a net profits of Dh32.97 million for 2000 against Dh32.78 million the previous year.
The Abu Dhabi-based firm, incorporated in 1982, focuses on two main business segments: underwriting of general insurance business and investments in UAE marketable equity
securities, bank term deposits, and overseas managed portfolios and other securities.
Operating mainly in the UAE and other Arabian Gulf countries, the firm’s authorized, issued and fully paid-up capital amounts to Dh 60 million, consisting of six million shares. The UAE government holds 11.81 percent of the company's shares, through the Abu Dhabi Investment Authority, while the rest are held by UAE nationals. — (Mena Report)
© 2001 Mena Report (www.menareport.com)
