News Middle East19 Apr 2026

Oman:Insurance market grows strongly in 1Q2026, on 2025 momentum

| 19 Apr 2026

Source: Oman – Listed Insurance Industry Performance Analysis – 1Q2026, BADRI


1Q2026 signals a strong and confident start to the year for Oman's insurance sector, building on the recovery momentum established in 2025 while introducing a sharper contrast in profitability across market players, according to BADRI Management Consultancy, an international actuarial and risk consulting company.

BADRI, in its report titled “OmanListed Insurance Industry Performance Analysis 1Q2026”, analysed the preliminary first-quarter results of the eight insurers listed on the Muscat Stock Exchange.

The combined insurance revenue of the eight insurers increased by 12%, reaching OMR190m ($494m) in 1Q2026, compared to OMR170m in 1Q2025, reflecting continued demand growth.

This expansion was largely driven by market leaders, with LIVA maintaining its dominant position and recording insurance revenue of OMR111m for 1Q2026, up by 18% from OMR94m in the corresponding period in 2025.

Topline growth remains concentrated at the top, as the three leading insurersLIVA, Dhofar Insurance and Oman Qatar Insurancereported a 15% increase in combined revenue to OMR152m. In contrast, the rest of the market remained relatively stagnant, with only a marginal 1.1% increase in revenue to OMR38.4m, highlighting persistent competitive and structural challenges for smaller players.

Profits

Profitability showed a marked improvement, with total profit after tax rising by 74% to OMR14.3m in 1Q2026, compared to OMR8.2m in 1Q2025. This growth was underpinned by a significant turnaround in performance among leading insurers, particularly Oman United Insurance, which recorded the highest profit of OMR5.1m against OMR0.4m in the prior year, thanks to bumper investment income.

The three insurers with the highest profitsOman United Insurance, Oman Qatar Insurance and Dhofar Insurancecollectively delivered an exceptional 263% increase in profit, reaching OMR11.0m, reinforcing their strong operational leverage and improved underwriting outcomes.

However, this profitability surge was not uniform across the market. Other insurers experienced a 37% decline in profit, falling to OMR3.3m from OMR5.2m, indicating ongoing margin pressures, competitive pricing, and potentially higher claims impact within this segment.

Looking ahead

BADRI said, “Overall, 1Q2026 reflects a market that is not only growing but also evolving in its competitive dynamics. While leading insurers continue to capitalise on scale, pricing discipline, and operational efficiencies, smaller players face increasing pressure to adapt.

The sector enters the year with positive momentum, supported by stronger earnings and steady revenue growth. Going forward, sustained success will depend on insurers’ ability to balance growth with profitability, enhance risk selection and respond proactively to cost pressures and emerging risks in an increasingly competitive landscape.”


 

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