SABB Takaful losses increased to 12 million riyals in the first half, compared to losses of 4 million riyals in the same period last year.
According to Arabiya Net, the company's losses fell to 1.5 million riyals, compared to a loss of 5.4 million riyals in the second quarter of last year.
and the reason for the decrease in the net losses before zakat and tax, in the second quarter, is mainly due to the following:
- Reduction in total underwriting costs and expenses by 16%, which is mainly due to the decrease in net claims and other benefits incurred in addition to the favorable change in the reserve for applicable risks partially offset by an increase In the costs of the acquisition of documents.
- Total revenue increased by 4%.
The above-mentioned changes were partially offset by an increase in general and administrative expenses of 7% and a decrease in investment income of 24%.
As for the 6-month period, the reason for the increase in net losses before zakat and tax is mainly due to the following:
- The increase in total underwriting costs and expenses by 20%, which was mainly attributed to the increase in the costs of underwriting documents, the increase in the reserve for takaful activities and the reserve of non-unit items, which was partially offset by a decrease in Net claims and other benefits incurred.
- Increase in general and administrative expenses by 12%.
- Decrease in investment income by 24%.
The aforementioned changes were partially offset by a 9% rise in total revenue.
(Amazon fun knowledge)
