Economic Research | Lebanon This Week | Lebanon This Week 550 | Net profits of life insurance category at $110m in 2017 | Lebanon | Byblos Bank

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Byblos Bank

Lebanon This Week 550

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Net profits of life insurance category at $110m in 2017

Figures released by the Insurance Control Commission (ICC) show that the aggregate net profits of 31 companies operating in the life insurance category in Lebanon reached $109.9m in 2017, constituting an increase of 33.3% from $82.4m in 2016. Also, net income from the life category posted a compound annual growth rate (CAGR) of 9.3% between 2011 and 2017. The ''term life protection'' segment posted profits of $79.1m in 2017, followed by the ''life protection with savings'' segment with $28m and the ''life protection with unit-linked savings'' segment with $2.7m. Metlife Alico led all life insurers with $27.8m in net profits in 2017 and accounted for 25.3% of the life category's aggregate net earnings, followed by Bancassurance with $19.5m (17.8%), Sogecap with $15.2m (13.9%), ADIR with $10.6m (9.6%), CLA with $10.3m (9.4%) and Allianz SNA with $5.6m (5.1%).

Gross written premiums from the life category, which include new business and renewals, increased by 3.1% to $497.6m in 2017 relative to growth rates of 5.1% in 2016, 7.8% in 2015, 4.3% in 2014 and 7.5% in 2013. Also, gross premiums rose by a CAGR of 5.3% between 2011 and 2017. Gross written premiums from the ''life protection with savings'' segment totaled $186.6m and accounted for 37.5% of aggregate life insurance premiums, followed by the ''term life protection'' segment with $168.9m (33.9%), and the ''life protection with unit-linked savings'' segment with $142.2m (28.6%). Further, net premiums stood at $471.7m, policy fees totaled $19.1m, and the cost of policies reached $13m in 2017.
 
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