Riyadh – Mubasher: United Cooperative Assurance Company logged an increase of 644% in net losses before Zakat to SAR 33.52 million during the first half (H1) of 2021, compared to SAR 4.5 million in H1-20.
The loss per share deepened to SAR 0.94 in H1-21 from SAR 0.21 in H1-20, according to the income statements on Tadawul website.
Net written premiums decreased by almost 30% to SAR 83.02 million in the first six months of 2021 from SAR 117.95 million in the same half last year.
Net incurred claims meanwhile soared by 692% to SAR 108.36 million in H1-21 from SAR 13.67 million in H1-20.
At the end of June 2021, the accumulated losses have reached SAR 145.54 million, accounting for 36% of the SAR 400 million capital.
During the second quarter (Q2) of 2021, the insurance company’s losses widened by 361% to SAR 6.53 million from SAR 1.41 million in Q2-20.
On a quarterly basis, the net losses in the April-June 2021 period were 75.5% lower than SAR 26.99 million in Q1-21.
At the end of March this year, Q1-21, United Cooperative’s accumulated losses stood at SAR 137.015 million. The company received the Saudi Central Bank’s (SAMA) approval to offset part of the accumulated losses by SAR 31.94 million from the statutory reserve last July.
