Chairman's Statement

Chairman's Statement

On behalf of the Board of Directors, I am pleased to present to you the Insurance House Annual Report for the financial year ended 31 December 2022.

For the year ended 31 December 2022, IH has registered a Net Profit of AED 4.36 million compared to AED 9.52 million in the previous year. This is a direct result of the extremely competitive business environment we were operating in, that led to a squeeze on our Net Underwriting Income- especially in the Motor business.

Gross Premiums Written during 2022 were significantly higher at AED 281.25 million compared to AED 207.31 million written during the previous year. Net Premiums Earned in 2022 were also higher at AED 139.13 million compared to AED 134.43 million in the previous year.  However, Net Claims Incurred during 2022 were significantly higher at AED 89.71 million compared to AED 66.64 million in the previous year. As a combined result of the above, Net Underwriting Income for 2022 was lower at AED 37.61 million compared to AED 46.48 million registered during the previous year.

In 2023, the investment grade credit rating of the Company- Long-Term Issuer Credit Rating of “BBB-” and a Financial Strength Rating of “B+” (Good) have been reaffirmed by AM Best, the international credit rating agency. The outlook assigned to these Credit Ratings is “Stable”. This independent re-affirmation of our investment grade credit rating by an internationally accredited credit rating agency such as AM Best will not only strengthen our existing business relationships, but will also open doors to many new relationships across the globe.

Our strategy is to compete on the basis of differentiated product offerings, improved digital capabilities and superior service quality. Going forward, profits from core insurance activities will be driven by continuous fine-tuning of our risk underwriting capabilities, increased use of digital channels to extend customer reach and enhanced controls in our claims management processes.