Arig reported reduced net profits of $2.7 million for the first quarter of 2013 (Q1 2012: $5.5 million) on gross premiums of $164.9 million (Q1 2012: $159.9 million), an increase of 3%. Arig’s non-life combined ratio reached 79.7% for the first quarter (Q1 2012: 75.2%).
The underwriting result was lower at $ 1.6 million against the previous year’s quarter (Q1 2012: $ 3.5). Investments returned $ 6.4 million (Q1 2012: $ 10.5 million) following uplift in the global equity markets.
“Following our practice of prudent reserving we have catered for some potential claims as a precaution. This has lowered the underwriting result even though it is too early in the year to say if this would have a lasting effect on our overall performance in 2013,” Yassir Albaharna, CEO of Arig, said.
Arig’s shareholders’ equity increased to US$ 249.6 million on 31st of March, 2013 (end of 2012: US$ 247.1 million), with a book value per share of US$ 1.26 for the same period (end of 2012: US$ 1.25).