Middle East - Kuwait: GIG eyes Turkish and Gulf markets
Source: Middle East Insurance Review | May 2016
Gulf Insurance Group (GIG) is planning to expand into new markets this year, including Turkey and the Gulf countries, said Group CEO Khalid Saoud Al Hasan, at the company’s annual general meeting recently.
He indicated that GIG has yet to decide whether it would enter the new markets with partners or on its own, the local media reported. He added that the group is seeking through its subsidiary in Jordan to obtain a licence to offer life insurance, in addition to its general and health insurance services.
Last year, GIG acquired a stake in the non-life insurer, L’Algérienne des Assurances (2A Insurance Company). It also has a stake in Algerian Gulf Life Insurance Company, a new life insurance venture established with CASH Assurances and the National Bank of Algeria. Mr Al Hasan said that the operating results of the Algerian companies will be reflected in the Group’s financial statements this year.
Mr Al Hasan expects GIG’s net profit to increase by more than 10% this year. For 2015, the group’s net profit increased by 17% to KWD14.1 million (US$46.7 million), compared to KWD12 million for 2014.
He said: “Despite the challenges facing the insurance industry in the Middle East and the difficult economic and political conditions of the Arabian countries that we are operating in, GIG was able to achieve good results supported with double-digit growth in revenue, underwriting results and net profit, and the group successfully maintained its leading position in terms of gross written premiums in Kuwait, Bahrain, Jordan and Egypt.”
KWD1 = US$3.31