UAE – reinsurance absorbs AED 2.6 billion premiums
Thursday, 11 23 2017, Category: Insurance and Reinsurance, Country: U.A.E
Foreign reinsurance companies absorbed 15.5% of local total written premiums during nine months i.e. AED 2.56 billion out of AED 16.6 billion written in the country during the first nine months of year 2017, compared to AED 3.8 billion of net reinsurance i.e. 26% of written premiums during the same period in 2016 with a 33% decrease.
“Al Khaleej” analyzed the financial statements of insurance companies, which wrote AED 16.6 billion in 9 months of which reinsurance took AED 9.013 billion. However, reinsurance reinjected AED 6.453 billion as technical claims in the local market. These figures compare with AED 14.44 billion of direct written premiums in the same period in 2016 of which reinsurance took AED 7.772 billion noting that reinsurance reinjected AED 3.971 billion as technical claims in the local market. Therefore, the net premiums share of reinsurance is AED 2.56 billion compared to AED 3.80 billion during the same period in year 2016.
Source: Economic Al Khaleej