The listed insurance companies have reported more than doubling (137.89% jump) of their total sectoral net earnings during 2021, substantially improving from the 18.92% increase during 2020, according to the Qatar Stock Exchange data.
The insurance sector, which has six listed constituents, reported total net profit of QR1.01bn during 2021 compared to QR426.37mn the previous year, said the bourse data.
The insurance sector had seen its net earnings at QR342.02mn during the first quarter (Q1) of 2021 against net loss of QR102.84mn during Q1, 2020. The second quarter (Q2) of 2021 saw the insurance sector's net profitability at QR577.67mn compared to net loss of QR34.97mn the year-ago period. During the third quarter (Q3) of 2021, the overall net profit of the sector was QR801.58mn compared to QR128.33mn during Q3, 2020.
In its latest report on ‘GCC Insurance Industry’ Alpen Capital said the insurance market in Qatar is estimated to reach $1.9bn in 2026, growing at a CAGR of 4.7% from 2021.
The non-life segment is estimated to grow at a CAGR of 4.7% to reach $1.8bn by 2026, aided by expected recovery in economic activity, tourist arrivals during the 2022 FIFA World Cup, infrastructure developments in the run up to the mega event, and roll out of a new health insurance plan for expatriates and their families.
Qatar Insurance, which is the dominant player in the country, saw its net profit jump more than six-fold (509.68%) year-on-year to QR615.88mn during 2021 compared to an 84.48% decline during 2020.
Qatar Insurance constituted 61.39% of the total net earnings of the insurance sector, whose index gained 13.82% during 2021, outperforming the 11.4% jump in the QSE's main barometer.
The company had netted profit of QR200.63mn, QR342.17mn and QR498.24mn during Q1, Q2 and Q3 of 2021 respectively.
QLM had seen its net profit 8.29% year-on-year growth to QR106.17mn or 10.89% of the total net profits of the sector during 2021. It registered a 66.99% surge during Q1, 2021; 9.86% during Q2, 2021 and 6.96% during Q3, 2021.
Qatar General Insurance and Reinsurance reported a 24.55% decline in net profit to QR98.73mn during 2021 or 9.9% of the total net profits during 2021. It had seen a 317.56% surge in net earnings during Q1, 2021; 147.25% during Q2 and 2.92% decline during Q3, 2021.
Qatar Islamic Insurance witnessed a 5.79% year-on-year jump in net earnings to QR80.11mn or 7.92% of the total net profit of the sector for the entire 2021. It had seen a decline of 5.2% and 3.58% during Q1 and Q2 respectively; but bounced back by growing 1.03% during Q3, 2021.
Doha Insurance reported a 22.02% surge year-on-year to QR73.27mn or 6.93% of the total net profit of the sector during 2021. The company had seen a 62.03% growth during Q1, 2021; 26.56% during Q2, 2021 and 22.25% during Q3, 2021.
Al Khaleej Takaful was back in black with it reporting net profit of QR40.13mn during 2021 compared to net loss of QR39.32mn during 2020. The company had seen 34.84% increase during Q1, 2021; 54.23% during Q2, 2021 and 49.96% during Q3, 2021.
Related Story