Abu Dhabi's ADNIC recorded gross written premiums for first nine months of Dh4.29 billion, up 32.4 per cent. Image Credit: Supplied

Dubai: The Abu Dhabi National Insurance Co. (ADNIC) recorded a net profit drop to Dh267.6 million for the first nine month against Dh333.7 million a year ago, citing market conditions as a cause.

“Investment income was impacted by volatility across asset classes as well as timing differences in receipt of dividends,” the insurer said in a statement.

ADNIC’s net investment and other income was Dh93.8 million for the nine-month period, compared to Dh125.8 million a year ago. But on core operations, ADNIC is on solid footing with year-on-year premiums up 32.4 per cent, with ‘outstanding growth’ in commercial lines, at 50.7 per cent.

“Our expense management continues to be robust and growth in expenses of 12.2 per cent is lower than premium growth,” said Sheikh Mohamed Bin Saif Al-Nahyan, Chairman. “We continue to make investments in new technologies and capabilities in the digital space. Sustainability will remain a key pillar of ADNIC’s strategy moving forward, and we will continue to ensure sustainable operation and practices.”

On the top-line, gross written premiums grew 32.4 per cent to Dh4.29 billion. “The performance was driven by robust growth in the commercial division of 50.7 per cent, and stable growth in consumer lines of 10 per cent despite pricing pressure and strong competition,” the Chairman added.

The premium retention ratio was 29.2 per cent against 33.5 per cent last year.