Emirates Insurance Co (EIC) has a track record of strong operating performance, notes AM Best.
Results over the past five years (2021-2025) were underpinned by strong underwriting performance and good, albeit volatile investment returns, resulting in a return on equity including other comprehensive income that fluctuated between 3% and 18%.
In 2025, EIC reported a net-net combined ratio of 90% (2024: 93%), with a reduction in loss ratio compared with the prior year, offsetting a marginal increase in expense ratio, driven by increased acquisition expenses.
Ratings affirmed
AM Best has affirmed EIC’s Financial Strength Rating of ‘A-’ (Excellent) and the Long-Term Issuer Credit Rating of ‘a-’ (Excellent). The outlook of these credit ratings is ‘Stable’.
The ratings reflect EIC’s balance sheet strength, which AM Best assesses as very strong, as well as its strong operating performance, limited business profile and appropriate enterprise risk management.
EIC’s balance sheet strength is underpinned by its risk-adjusted capitalisation, as measured by Best’s Capital Adequacy Ratio (BCAR), which is expected to remain comfortably above the threshold for a strongest assessment, underpinned by sufficient organic capital generation to support growth. The company’s balance sheet strength benefits from its strong liquidity and prudent reserving practices.
Offsetting factors to the assessment are EIC’s meaningful exposure to equities, which are considered to be higher-risk assets, and its high reliance on reinsurance; however, the associated credit risk is mitigated in part by the use of a diversified reinsurance panel of sound financial strength.
Business profile
EIC maintains a well-established brand and position in the UAE insurance market, ranking as the fifth-largest listed insurer in 2025 by insurance revenue. On a net basis, EIC’s premium revenue is concentrated geographically and by line of business. In 2025, UAE motor business represented approximately 60% of the company’s net insurance revenue.
Some geographical diversification is achieved through a growing portfolio of inward reinsurance business, representing 12% of insurance revenue in 2025, although the performance of this segment has been mixed in recent years.