Fidelity United turned into green and posted a Net Profit of AED1.4 million in 2019. This is a remarkable swing of over AED 10 million achieved in comparison to last year. Gross Premium Written has increased by 51% over 2018 to reach AED 221 million in 2019. This is despite a very high competitive market, and a tremendous pressure on the prices.
Fidelity United (formerly known as United Insurance Company) is one of the oldest companies in the UAE that also celebrated its 45th anniversary in 2021. Recently, the insurance firm successfully completed its AED60 million rights issue, which is the second injection of funds in the company since 2017.
Net Premium of the Company
The Net Premium Earned increased by 76% compared to 2018, which confirms the company’s strategy towards higher retention and prudent risk selection. The company’s strategy towards risk selection has resulted in a very positive outcome enhancing the Underwriting Profit by an increase of 210% compared to 2018. This was a result of conscious growth measures put in place to safeguard the company’s profitability despite the challenging environment.
The company went through a full restructuring, rebranding its image and name. The new leadership team has worked towards putting controls in place and set up a risk appetite with an accelerated strategy that lead the company towards its long-term vision of playing a major role in the UAE market.
Sustainable Growth of the Industry
The company today, is Fast Growing and capturing market share by creating a specific business model to its partners, Strongly Equipped with an experienced and passionate team along with a strong reinsurance support, and Highly Stable via the adoption of its risk management framework.“There is a large number of insurance players in the market and this is certainly not healthy for sustainable growth of the industry as a whole.
