Insurers Overcame Economic Recession In FY 2011/2012

Achieving growth rates in the last fiscal year was difficult for insurance companies to achieve in Egypt amid the high-risk environment together with worries of offering insurance services at very low prices in order to achieve large volume of premiums. However, insurance companies achieved high growth rates and are still competing to achieve growth rates, although there are no new investors and many companies no longer ask for property insurance as well as tourism sector has deteriorated.

Misr Insurance Company’s property premiums reached EGP 3.7 billion with an increase of 6%. The Misr Insurance Holding’s value of investments is expected to reach EGP 26.3 billion at the end of June 2012 with an increase of 4% from last year.

Misr Life Insurance Company achieved premiums of EGP 1.6 billion with an increase of 4% from last year, said Sadek Hassan, chairman of the Company.

Suez Canal Insurance Company’s property premiums reached EGP 385 million in FY 2011/2012, down from EGP 388 million in FY 2010/2011, with a decline of 0.8%, said Ahmed Shehab, general manager of the Company.

Suez Canal Life Insurance Company’s life premiums registered EGP 132 million in FY 2010/2012, compared to EGP 105 million in FY 2010/2011, with an increase of 26.7%, said Ahmed Shoukry, managing director of the Company.

Delta Life Insurance Company’s life insurance premiums stood at EGP 102.5 million in FY 2011/2012, compared to EGP 84 million in FY 2010/2011. Group life insurance premiums registered EGP 78.5 million, individual life insurance premiums registered EGP 24 million and medical insurance premiums registered EGP 48 million, said Ayman El-Alfy, general manager of the Company.

Royal Insurance Company’s premiums grew by 15% in FY 2011/2012, as the value of net written premiums reached EGP 136.4 million in FY 2010/2011.

Egyptian Takaful Co. – Life had premiums of EGP 45 million in FY 2011/2012, compared to EGP 16.6 million in FY 2010/2011, with an increase of 171%. The due compensations reached EGP 14 million. The value of group insurance premiums accounted for 70% of the total value of premiums and individual insurance premiums accounted for 30%, said Hisham Abdel Shakour, chairman of the Company.

Arab Orient Takaful Insurance Company had premiums of EGP 123.4 million in FY 2011/2012, up from EGP 74 million in FY 2010/2011, said Mohamed Akef, deputy chief executive officer for financial and administrative affairs.