The profits of the Islamic Arab Insurance Company, Salama Insurance, declined by 48.4% in the second quarter of 2021.
According to Arab Net, the company's financial statements showed that the net income after tax and distributions to Takaful subscribers amounted to 16,062 million dirhams, compared to 31.161 million responses during the corresponding period.
The net income in the first half amounted to 40.29 million dirhams, compared to 47.9 million dirhams in the first half of 2020, a decline of 16%.
The net underwriting income amounted to 84.96 million dirhams in the first half, an increase of 1.2% compared to the same period last year. This is due to the important steps that Salama has taken to enhance its digital capabilities by restructuring its procedures, operations and infrastructure services for the related IT sector; As well as strict underwriting controls, according to the company's statement.
With Salama's strategic focus on the local UAE market, where it sees the greatest potential for growth, the company's gross written premiums stabilized in the second quarter of 2021 at 655.51 million dirhams. This reflects the strong operational performance despite the prevailing economic challenges amid the continuing repercussions of the Covid-19 pandemic.
SALAMA's subsidiaries in Egypt and Algeria achieved positive results by recording joint profits of 15 million dirhams in the first half of 2021, compared to 18.83 million dirhams for the period Same as last year.
Salama achieved a significant growth in net investment income, which rose by 11.70% from 1,143 to 1,277 billion dirhams in the second quarter of 2021. This increase reveals the extent The company's progress in reallocating its cash flows to high-quality assets within the framework of the prudent investment strategy adopted by the Board of Directors last year.
