Profit of National General Insurance increased by 203 percent to AED 40 Million.

NGI has achieved its set growth despite the stiff competition in the local market. "The company has set itself a high standard of growth for the ensuing year 2005 and would play a major role in the life and health insurance apart from the other regular insurances. NGI would maintain its growth in the market," said Mr. Khalid Jassim Bin Kalban, chairman of NGI.

NGI has achieved a growth of 30% in the gross premium income from AED 68.7 Million to AED 89.07 Million. The spread of all classes of insurance in the premium income was well balanced with medical producing 26%, general classes 30%, motor 28% and life 16%, all showing a good growth as per the objectives set.

The company's total equity increased to AED 117.43 Million in 2004 from AED 82.55 Million of 2003 an increase of 42.25%. The total assets increased to AED 175.65 as against AED 122.77 in the previous year. The total technical reserves and outstanding claims reserve increased to AED 36.46 Million in 2004 as against AED 20.23 Million in 2003. The earnings per share increased to AED 6.36 as against AED 2.10 in 2003.

The improved financial performance has resulted in an increased payment of dividend and bonus shares. The shareholders approved the distribution of a cash dividend of 10% and bonus shares of 15% on the existing capital at the Annual General Meeting convened on the 19th February 2005.

"NGI will strive to achieve a good share of growth in the insurance market and will achieve improved results for the year 2005," said Dr. Abdul Zahra A. Ali, the General Manager of the company. "We expect to increase our penetration in the individual life and group life segment, with the opening of our new branch at Bur Dubai, along with the launch of new products in the segment. We would be increasing the Sales force for the segment considerably during the year 2005. We also expect a higher growth in Bancassurance business in 2005 with the extension of the business to many other branches of EBI through the Emirates. The company proposes to open additional branches during the year in Sharjah and Abu Dhabi, " said the General Manager. "With the buoyant growth in the economy NGI is bound to achieve a higher share of growth in all classes of insurances," continued the General Manager.