Takaful companies in the UAE posted a 23% jump in insurance revenue in the first three quarters of this year (3Q2025) to AED3.7bn ($1.0bn), a jump of 23% over the AED3.0bn reported for the corresponding period of 2024, according to BADRI Management Consultancy, an international and risk consulting firm.
In its report “UAE Listed Insurance Industry Performance Analysis – Q3 2025”, released yesterday, BADRI noted that there are six takaful companies in the UAE, out of 27 listed insurance companies. The business of the takaful companies contributed 10% of the total insurance revenue of the listed insurance companies in the UAE in 3Q2025.
The revenue of conventional insurers showed growth of 17% to AED34.1bn, when compared with AED29.1bn in the corresponding period of 2024.
The insurance revenue of the 27 companies analysed grew by 18% to AED37.8bn in 3Q2025 as compared to AED32.1bn in the corresponding period in 2024. (AKIC, METHAQ and AMAN were not included in the analysis as their 2025 nine-month financial statements were not published at the time of BADRI’s compilation of its report.)
Profitability
The shareholders’ profits of takaful companies reflected an increase of 53% in 3Q2025 when compared 3Q2024, said the report. Conventional insurers showed an increase of 61% in profits for 3Q2025.
Analysing the net results of 26 listed insurers, BADRI said, “It can be observed that insurance companies with losses in Insurance Results (Net Insurance Service Results + Net Insurance Finance Income) offset the impact through investment income. The highest insurance results were generated by ADNIC (AED344m) and largest investment income by Orient (AED457m).
Seven out of the 26 companies saw negative insurance results. Among these seven, five were able to generate net profits because of investment income. On the other hand, ASNIC recorded a loss in investment income. Among the 10 most profitable companies, the net results of four were driven by Investment income.
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Combined totals of 26 listed insurers for the first three quarters
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3Q2025
AED m
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3Q2024
AED m
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Change
% *
|
|
Insurance results
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2,100.5
|
1,120.3
|
87.5
|
|
Investment income
|
1,829.0
|
1,632.2
|
12.1
|
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Other income & expenses
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(753.3)
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(766.5)
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-1.7
|
|
Profit before tax
|
3,176.1
|
1,986.1
|
59.9
|
|
Tax
|
(335.9)
|
(189.4)
|
77.3
|
|
Profit after tax
|
2,840.3
|
1,796.7
|
58.1
|
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Source: BADRI Management Consultancy, “UAE Listed Insurance Industry Performance Analysis – Q3 2025”
* 3Q2025/3Q2024
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Opportunities
BADRI said, “There are clear opportunities to enhance insurance financial strategies in the current market environment. Companies are encouraged to prioritise net insurance financial income as their core driver of profitability, especially as the market continues to move in a positive direction.”
The report added, “Overall, the first three quarters of 2025 confirmed that the UAE insurance sector is consolidating its recovery, with strong revenue growth, improved underwriting results, rising profitability, and continued concentration around leading insurers. The sector’s long-term sustainability will depend on maintaining disciplined pricing, robust portfolio management, and capital adequacy, ensuring that profitability remains rooted in core insurance operations.”
The data on which BADRI based its report was extracted from the published financial reports of insurance companies, which were publicly listed and available as of the time of the compilation of the report