MANAMA, 5 November 2006 — Arab Insurance Group (Arig) yesterday announced its results for the nine-month period ended Sept 30, 2006 reporting a net profit of $12.9 million. This represents an increase of 50 percent over the net profit of $8.6 million registered in the second quarter of 2006, and compares to a net profit of 13.2 million for the same period last year (excluding profits of $28.9 million from discontinued operations).
The gross premium at the end of the quarter was $146.8 million, up from $ 144.9 million for the same period in 2005. The growth was mainly in facultative reinsurance premiums (property and engineering classes), which grew by 36 percent to $23.6 million for the period from $17.4 million. As a part of maintaining strict underwriting discipline, Arig did not renew several non-profitable treaties. The treaty premium at the end of the quarter was $119.2 million, down from $125 million. Life premiums grew by 65 percent to $4 million from $2.4 million in 2005.