Al-Subaey: Focus on growth markets.

Robust global reinsurance (Qatar Re and Antares) as well as regional personal lines as medical and life insurance helped Qatar Insurance Company (QIC) Group report record gross written premiums of QR5.38bn for the first nine months of 2015, demonstrating a strong growth of 20%.
The group’s consolidated net profit was QR715mn compared to QR801mn in the year-ago period, reflecting the softening global trading conditions as well as regional economic and investment headwinds due to lower oil prices, the company said.
The group’s net investment result, including net investment income as well as realised capital gains and losses stood at QR587mn, down 26% over the same period in 2014, reflecting adverse market dynamics both on the regional and global level.
This was partially offset by a very strong net underwriting result of QR637mn for the first nine months of 2015, a significant increase of 25% on the previous year, it said.
Net earned premium grew 31% to QR3.4bn.
“The group’s financial results reflect increasingly competitive global (re)insurance market conditions, compounded by increased financial market volatility and the impact of falling oil prices on the Middle Eastern economies,” according to Khalifa al-Subaey, Group President and chief executive of QIC Group.The insurance company witnessed 11% expansion in advisory fee income to QR81.31mn, 6% in rental income to QR34.52mn and 55% in other income to QR2.38mn.
Despite prevailing volatility, the group’s domestic, regional and global operations have continued to perform in line with expectations, he, however, added.In particular, QIC Group has witnessed increased buoyancy in personal lines business in the region, he said, adding the outlook for both medical and life insurance business seems to be positive and is an area for further focused growth.
“Going forward, in line with our strategy and expected development of the regional markets, we anticipate seeing benefits of the measures that has been implemented,” he said.During the nine month period, QIC Group successfully added Qatar Re, a global multi-line reinsurance subsidiary. In accordance with the business plans and continued focus on niche and specialty opportunities, “we will further grow and expand its global franchise through capital injections and efficient capital management,” al-Subaey said.
With greater process efficiencies and cost rationalisation, general and administrative expenses year-on-year have remained stable, he said.“On the back of our new product launches that are underway and our renewed focus on growth markets, we are confident that our book of business will continue to expand,” he added.