Adnic 9-month profit surges 45.5% to Dh283 mllion

Abu Dhabi National Insurance Company (Adnic) announced on Thursday that its net profit for the first nine-month period of 2020 surged 45.5 per cent to Dh282.8 million year-on-year.

In a statement, the insurance major said overall premium retention ratio reached 32.7 per cent for the period compared to 30.8 per cent year-on-year. Gross written premium increased by 6.2 per cent to Dh3.17 billion compared to Dh 2.98 billion for the same 2019 period.

While net technical profit for the nine-month period increased by 125.5 per cent to Dh201.8 million from Dh89.5 million in the same period in 2019, net investment and other income stood at Dh85 million, down from Dh106.4 million year on year.

Sheikh Mohamed bin Saif Al Nahyan, chairman of Adnic, said in a year full of uncertainty, the company’s strategic actions had enabled it to deliver resilient .

“Looking at the remainder of the year, we will continue to respond to the increasing digital-first mindset of retail and SME customers through ongoing product and service innovation,” said Al Nahyan.

Adnic said in a statement that technical underwriting results remained solid with 44 per cent growth, compared to same quarter last year. “Particularly strong gains were achieved in the total insurance premium reaching Dh3.17 billion which is 6.2 per cent growth compared to the previous year with Dh 2.98 billion, and the technical profit which increased by 125.5 per cent - reaching 201.8 million in the third quarter of 2020 compared to 89.5 million in the previous year.”

It said the growth in revenue is primarily driven by the Commercial Lines division which has recorded a 12.8 per cent increase compared to the previous year as a result of a successful conversion of new business opportunities.

Ahmad Idris, CEO of Adnic, said during the remainder of the year, the firm will continue to look for ways to remain competitive and fully operational to deliver on its promise as customers’ reliable insurer.

“Being a responsible company is fundamental to Adnic’s long-term sustainability and as we move into the last quarter of the year, we will continue to leverage on our digital facilities and give back to the local community through our long-standing CSR initiatives,” said Idris.

-- issacjohn@khaleejtimes.com