QIC gets nod to raise capital to support expansion plan

DOHA: Qatar Insurance, the leading insurance Group in the region, yesterday announced its future plans and growth strategy. The QIC Group, as part of its diversification strategy, will maintain its regional leadership position, and continue global expansion in promising markets in Asia and Europe, with special focus in insurance and reinsurance hubs including London.
QIC Group, through its subsidiaries, is expanding its footprint in the UK. During the last few months of 2017, it has successfully entered into agreements to acquire Markerstudy’s Gibralter-based insurance companies, namely Markerstudy Insurance Company Limited and Ultimate Insurance Company Limited, said the company’s Board of Director’s Report released yesterday.
Markerstudy currently underwrites nearly 5 percent of the UK’s motor insurance market, generating annual premiums of about £750m. The deal, which is subject to regulatory approvals, will provide QIC with a share of lower volatility business.
“Through our subsidiaries Qatar Re, Antares, and QEL the Group has established a meaningful presence in key international insurance and reinsurance centres such as Bermuda, Zurich, London, Malta, Singapore, and Shanghai. Approximately 75 percent of our Gross Written Premium (GWP) is generated from our international operations,” the report noted.
Despite being a challenging year, in 2017 QIC Group recorded strong operational performance, coupled with robust premium growth, taking the GWP to QR11.7bn, up by 18 percent compared to the corresponding period in 2016. The underwriting results for the Group for the year 2017 amounted to QR115m. QIC Group’s consolidated net profit for the full year 2017 came in at QR418m.
The company yesterday held its Annual General Meeting (AGM), which was presided over by Abdulla bin Khalifa Al Attiya, Deputy Chairman of the Board of Directors. The shareholders of the Group approved all the items on the agenda, including the proposed increase in the company’s capital and distribution of dividends for the year 2017.

The shareholders discussed the Group’s annual performance and approved to increase the Company’s capital from QR2.7bn to QR3.2bn, and also endorsed the recommended distribution of cash dividend payout of 15 percent for the year ended December 31, 2017 and an issue of bonus shares in the amount of 3 shares for every 20 held.

“QIC will continue to leverage opportunities throught further global diversification and expansion of its franchise,” said Sheikh Khalid bin Mohammed Al Thani, Chairman, QIC Group, in his message to the shareholders.
 QIC Group’s consistent performance lies in its robust underwriting prowess, global business diversification and strong risk-adjusted capitalisation.
The Group’s consistent approach of applying global standards and best practices in its assessment of the current and future solvency and capital adequacy requirements ensured that it remained well positioned and capitalised amidst the pressures of global market conditions.  Key contributors to the reported growth were the Group’s dedicated global reinsurance and specialty insurance subsidiaries as well as the life and medical segments of the business emanating from the Middle East.