The continued international expansion of reinsurance firm Qatar Re has helped its parent QIC Group take its international premiums underwritten to 70% of the total business at the firm.
Reporting its results today, QIC Group said that 2016 saw an ongoing expansion of its Qatar Re reinsurance business, as well as its Antares specialty Lloyd’s of London insurer and reinsurer, leading to 70% of the Group’s gross written premiums coming from abroad.
However the headwinds in global insurance, reinsurance and capital markets impacted QIC during the year, as well as a slightly higher non-life combined ratio at 98%, resulting in a return on equity of 14.7% for 2016, compared to 18.1% in 2015.
Gross written premiums were up at US$2.72 billion, compared to US$2.293 billion in the prior year, with its global reinsurance and specialty businesses Qatar Re and Antares cited as “key contributors.”
Mr. Khalifa Abdulla Turki Al Subaey, Group President & CEO of QIC Group, commented; “2016 was a challenging year both for the Middle East and a number of global investment markets. In addition, insurance and reinsurance markets continued to soften across the globe. On the back of the superior diversification of our business and continued profitability from our insurance and reinsurance operations, we have once more proven the resilience of our business model whilst navigating turbulent waters. Moreover, the buoyancy of our personal lines retail business added to the success of the Group.”
On Qatar Re the Group hailed its relocation to Bermuda as an important driver in the reinsurers ongoing growth, benefiting from the islands Solvency II equivalence and its proximity to the United States.
Pursuing further global growth, Qatar Re now operates through offices in Bermuda, and branches in Dubai, Zurich and Singapore, a representative office in London, and a services company in Doha.
Antares and Antares Asia provides the group with access to London and Singapore business in specialty risks insurance, reinsurance and retrocession, as well as providing China access through the Lloyd’s platform there.
Further growth is likely as QIC, Qatar Re and Antares benefit from the enhanced access to business through its global expansion, adding important international diversification to its revenue sources.
Al Subaey continued; “We are cautiously optimistic about our outlook for the remainder of 2017. We will continue to focus our efforts on achieving the Group’s objectives and performing according to the strategic plans that have been set forth for ensuring sustainable growth.”
