The UAE’s thriving economy, including its active construction industry, had a positive impact on the nation’s insurance sector, with premiums written in property and liability insurance rising from Dh24.9 billion ($6.77 billion) in 2014 to Dh27.5 billion ($7.48 billion) last year.

This was an increase of 10.4 per cent, according to data released by the annual insurance report for 2015, said a Wam report.

The insurance market indicators for 2015 revealed that gross written premiums for the insurance of persons and fund accumulation operations amounted to Dh9.5 billion. The share of national companies and foreign companies accounted for 20.6 per cent and 79.4 per cent, respectively.

Gross written premiums for property and liability insurance stood at Dh27.5 billion. The share of national companies was 74.1 per cent, against 25.9 per cent for foreign company branches.

The percentage share by class of property and liability insurance to total written premiums is as follows: medical insurance at 47.8 per cent, accidents and liability 34.3 per cent, fire 8.4 per cent, land, sea, and air transportation 6.0 per cent and other risks 3.5 per cent.

Gross technical provisions for the insurance of persons and fund accumulation operations amounted to Dh17.0 billion. Further, the technical provisions for property and liability insurance reached Dh18.7 billion. The total shareholders’ equity of national insurance companies was valued at Dh17.5 billion, as of 31 December 2015, while the total funds invested in the sector amounted to Dh45.7 billion, 60.5 per cent of which is invested in financial securities, followed by 20.7 per cent in bank deposits. - TradeArabia News Service