IGI profits surge 60% with solid top line growth in 2021
Specialist commercial re/insurer International General Insurance Holdings (IGI) increased net profits 60% to $43.7 million as a 17% gain on the top line was aided a merciful accounting on prior year claims developments, FY2021 financial statements indicated.
Gross written premiums increased 16.8% to $545.6 million in 2021, including 20.6% growth in the group's single largest line of long-tail casualty. Growth proved double digit in all short-tail specialty lines save the annual decline in aviation, notes to the report indicated. Mark construction and engineering GWP up 74% y/y. Treaty reinsurance premium rose 24.4%s y/y.
"The increase in gross written premiums was the result of new business generated across all segments and virtually all lines, as well as rate increases on existing business in all segments," management claimed.
The group's overall net claims and claim adjustment expenses ratio fell 2.5 percentage points to 51.0% for 2021, driven primarily by 4.7 pps favourable loss development on prior accident years, management said. That helped offset current accident year cat losses which more than doubled to $28.9 million.
Reinsurers’ share of insurance premiums increased 26.5% to $163.0 million in 2021. Management credited a 46.9% increase in quota share premiums following introduction of a new quota share treaty for professional indemnity and directors & officers, further supported by an increase in the quota share cession in professional indemnity and facultative in energy and property lines.
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