AICC announces the annual financial results

25/02/2013 08:49 AST

Arabia Insurance Cooperative Company - AICC announces the financial results for the year ended 31/12/2012 as follows:

1.The net loss is SR 2,859 thousand riyals, before Zakat and income tax, compared to net profit SR 17,290 thousand riyals, before Zakat and income tax, for the previous year.

2.The loss per share is SR 0.14 compared to a profit of SR 0.86 for the previous year.

3.The deficit of insurance operations, net of policyholders return on investments (the results of operations) is SR 11,382 thousand riyals, compared to surplus of SR 14,785 thousand riyals for the previous year.

4.The gross written premiums (GWP) during the year are SR 653,945 thousand riyals, compared to SR 565,059 thousand riyals for the previous year, an increase of 16%. And the net written premiums (NWP) during the year are SR 498,311 thousand riyals, compared to SR 351,293 thousand riyals for the previous year, an increase of 42%.

5.The net claims incurred during the year are SR 315,452 thousand riyals, compared to SR 203,421 thousand riyals for the previous year, an increase of 55%.

6.The return on investments of policyholders funds during the year is SR 3,028 thousand riyals, compared to SR 2,824 thousand riyals for the previous year, an increase of 7%. The return on investments of shareholders funds during the year is SR 6,779 thousand riyals, compared to SR 4,106 thousand riyals for the previous year, an increase of 65%.

7.The reason behind the net loss during this year compared to the net profit for the previous year is due to the increase in net change in unearned premiums reserves as a result of production increase and premium retention ratio in addition to the increase in net claims incurred.

8.Contained in the report of External Auditors that: these financial statements are prepared in accordance with International Accounting Standard 34 and not in accordance with the Standard on Financial Reporting issued by SOCPA.

The Company believes that there is no financial impact on the financial statements as a result of their presentation in accordance with International Financial Reporting Standards instead of Financial Reporting Standards in Saudi Arabia.

Tadawul