Open AccessInvestigating Growth Indicators for Insurance Companies in UAE before recession (Comparative Study)
Author(s) -
Doaa Wafik,
Assem Tharwat
Publication year - 2015
Publication title -
international journal of business administration and management research
Language(s) - English
Resource type - Journals
ISSN - 2412-4346
DOI - 10.24178/ijbamr.2015.1.1.07
Subject(s) - business , underwriting , finance , insurance industry , net profit , shareholder , financial services , actuarial science , profit (economics) , economics , corporate governance , microeconomics
Insurance Companies provide coverage in the form of compensation resulting from loss, damages, injury, treatment or hardship in exchange for premium payments. Insurance as an industry involves pooling fundsfrom many insured entities (known as exposures) to pay for the losses that some may incur. Insurance asa financial intermediary is a commercial enterprise and a major part of the financial services industry. The Growth of insurance companies usually measured through certain Indicators such as the increment percentage in: net profit, total premium written, shareholders equity, total assets, net underwriting income, and net investment.Insurance industry established in UAE at early 70th of the last century (the first insurance company was El Sharjah Company which established at 1970). Now (after almost 40 years) there are more than sixty insurance companies playing a crucial role in both the UAE financial market and society.In this article the net profit, and total premium written growth indicators will be investigated for a selected group of insurance companies in UAE. Using the descriptive statistical tools, the graphical presentations and the control chart, a comparative study is performed among the selected group of insurance company based on the discussed indicators to evaluate their financial performance during the period of study.