The UAE listed insurance sector carried its positive momentum into the first half of 2026, delivering another round of healthy growth underpinned by strengthening underwriting performance, according to BADRI Management Consultancy.
In its report titled “UAE Listed Insurance Industry Performance Analysis – 1H 2026”, BADRI says that insurance revenue for the 27 listed companies rose by 14% to AED28.0bn [$7.6bn] (1H2025: AED24.6bn), reflecting sustained premium growth across both conventional and takaful operators.
The top five insurers—Orient, Daman, ADNIC, Sukoon and Dubai Insurance—continued to anchor the market with AED18.8bn of revenue, up by 12%. In contrast, mid- and small-sized insurers outpaced their larger peers with 19% growth to AED9.2bn, confirming a steady broadening of industry momentum beyond the market leaders.
Insurance service results improved by 13% to AED1.8bn (1H 2025: AED1.6 n), pointing to continued strengthening of technical profitability across the sector. The improvement was most pronounced among the smaller operators, whose combined insurance service results rose by 29% year-on-year to AED470m, while the top five—Daman, Orient, Sukoon, ADNIC and Abu Dhabi National Takaful—recorded a more measured 9% increase to AED1.37bn. Underwriting pressure remains concentrated within a small group of insurers rather than being a market-wide concern.
Profit
Profit before tax increased by 13% to AED2.4bn (1H 2025: AED2.2bn), with the top five—Orient, Daman, Sukoon, ADNIC and Dubai Insurance—contributing AED1.8bn (up 11%) and the remaining companies delivering stronger relative growth of 20% to AED665m. In contrast to the opening quarter, investment income also advanced, rising 13% to AED1.4bn. This gain was uneven, however, with the top five recording a 26% increase while the remaining insurers saw a 5% decline.
Takaful players, despite representing only 10% of listed-sector revenue, recorded 16% revenue growth and 51% profit growth, compared with 14% and 10% respectively for conventional insurers.
The spillover from the March 2026 UAE floods, which generated significant insured losses across the market, continued to be felt in the second quarter as the full impact of the event became visible in company financials, including the effect of reinstatement premiums following the initial recognition of losses on maximum retention. Even so, the sector absorbed these losses while sustaining its growth trajectory, reinforcing the positive path established through 2025 and the increasingly broad-based nature of the industry's performance. Capital adequacy and solvency remain central to regulatory attention.
While most companies continue to maintain comfortable positions, a small number remain below or close to the UAE central bank's 100% solvency threshold and will require ongoing management focus and, in certain cases, capital strengthening initiatives. Solvency outcomes across the market varied widely, reflecting the divergent capital profiles that persist within the sector.
Looking ahead
The industry enters the remainder of the year from a position of underlying strength, supported by healthy revenue growth, improving technical performance and a favourable overall combined ratio. It is encouraging to note that companies have so far resisted the temptation to compete on price in pursuit of market share, choosing instead to protect margins.
Nevertheless, insurers must remain watchful of higher reinsurance costs following treaty renewals, inflation in motor repair costs arising from geopolitical developments, evolving regulatory expectations, and the ongoing demands of solvency management. Companies that combine disciplined underwriting, effective claims management, prudent capital allocation and robust solvency management will be best placed to convert topline growth into sustainable technical profitability.