The share of the state owned sector in the overall general insurance market in Egypt stood at 40.7% in the financial year ended 30 June 2019 (FY2019), according to statistics released by the Financial Regulatory Authority.
The public non-life insurance sector, represented by Misr Insurance Company, posted premiums of EGP7.4bn ($475m) in FY2019, compared to EGP10.7bn for the 23 insurers in the private sector, reported Al Mal citing the FRA data.
Misr Insurance, the largest general insurer in the country, has been losing market share, with the entry of more insurers into the sector. The company's share of direct premiums—excluding reinsurance premiums from abroad—shrank to 44.1% in FY2018, compared to 45.9% in FY2017.
Overall, the non-life market in Egypt reported an increase of EGP2.5bn or 16% in premiums to EGP18.1bn in FY2019, compared to FY2018. In comparison, property insurance companies posted 26.8% growth in premiums to EGP15.6bn in FY2018, accounting for 56.2% of total direct premiums in FY2018.
The FRA data also show that aggregate non-life and life insurance premiums generated in FY2019 reached EGP33.4bn, representing an increase of 20.1% over FY2018. The premiums were generated by the 24 non-life companies and 15 life insurers. The P&C sector accounted for 54.2% of aggregate premiums.
State-owned Misr Life Insurance posted EGP4.4bn in premiums in FY2019, accounting for 29% of total life insurance premiums of EGP15.3bn. The company’s gross written premiums increased by 21% during FY2018 to EGP4.0bn, representing 33% of total life premiums of EGP12.2bn.
Misr Takaful Insurance increased its direct contributions to EGP212m in FY2019, compared to EGP38m in the previous financial year.
In terms of net profits, Misr Insurance Holding Group chalked up EGP4bn for FY2019, an increase of 22.5% over FY2018. The figure is the highest to date for the group. Misr Insurance, Misr Life and Misr Takaful are subsidiaries in the group.