Qatar Insurance Company (QIC), which reported more than 2% growth year-on-year in net profit to QR711mn in the first nine months of this year, yesterday accorded approval to Qatar Re, one of its international units, to raise capital through non-equity route.
This was disclosed yesterday after QIC’s board meeting, chaired by its group president and chief executive Khalifa Abdulla Turki al-Subaey. Although gross written premium increased 44% to QR 7.73bn, the insurance company’s net underwriting results fell 14% to QR549mn due to increase in claims, a QIC spokesman said after its board meeting. Investment and other income expanded 17% to QR689mn during January-September this year.
The insurer’s earnings-per-share for the nine month period in 2016 stood at QR3.13 compared to QR3.22 in the corresponding period of last year. Shareholders’ equity, as on September 30, 2016, was QR7.98bn against QR5.81bn for the year ended December 31, 2015.
On Qatar Re, a global multi-line reinsurer for major property and casualty and speciality lines of business, QIC board gave its “in principle” approval to the recommendation of the business and strategy committee regarding the issuance of Tier 2 capital. The capital raising is subject to obtaining the necessary approvals from the regulatory authorities and completion of all the required documents, a company spokesman said without providing further details.
Qatar Re – a subsidiary of QIC Capital, the parent company for all international units of QIC – had recently received a licence from the Monetary Authority of Singapore to open a branch as part of efforts to expand the Asian operations.