Jordan: Insurance posts pre-tax profits of $43 mln in 2015
Source: Middle East Insurance Review | Oct 2016
The insurance industry posted combined net profits before tax of JOD30.2 million (US$42.6 million) last year, compared with gains of about JOD41 million for 2014, largely due to higher doubtful debts and employee expenses.
In addition, investment gains reached JOD7.4 million last year compared to a profit of JOD8.8 million for 2014, a decline of 16%, while interest income amounted to JOD12.7 million last year compared to JOD14.9 million in 2014.
The sector achieved a technical profit of JOD34 million last year, marginally lower than 2014’s JOD34.9 million, according to the local media citing a report issued by the Ministry of Industry and Trade and Supply.
The total premiums written in Jordan stood at JOD550.4 million last year, an increase of 4.7% over 2014. Life insurance contributed 11% to total premiums while non-life insurance accounted for 89%. Motor insurance contributed 40% and medical insurance 28% to total premiums.
Insurance penetration in Jordan was 2.07% last year, higher than the average of 1.9% for the MENA region as a whole.
There were 24 insurance companies operating in Jordan last year, according to the report.
JOD1 = US$1.41