For the third quarter and first nine months of 2025, International General Insurance (IGI) has reported mixed results amid weaker underwriting but ultimately stronger operating income.
For the quarter ended September 30, the company recorded net income of US$33.5 million, compared to US$34.5 million in the same period last year. Net income for the nine months was US$94.9 million, down from US$105.1 million for the corresponding period in 2024.
The annualised return on average equity for the third quarter was 19.9%, compared to 22.3% in the prior year’s quarter. For the nine-month period, the annualised return on average equity was 18.9%, compared to 23.5% a year earlier.
Core operating income, which excludes certain items, reached US$38.6 million in the third quarter, up from US$30.7 million in the same period last year. The core operating return on average equity (annualised) was 22.9% for the third quarter, compared to 19.8% in 2024.
For the nine months, core operating income was US$80.8 million, compared to US$103.9 million for the same period in 2024. The annualised core operating return on average equity for the nine-month period was 16.1%, down from 23.2% in the prior year.
The company attributed the lower core operating income for the nine months to a decrease in underwriting income, primarily due to a decline in net premiums earned and the impact of currency revaluation movements of the US dollar against major transactional currencies.
IGI’s financial performance in the third quarter followed a second quarter in which the company reported net income of US$34.1 million, a 3.9% increase from the same period in 2024. However, for the first half of 2025, net income totalled US$61.4 million, down from US$70.7 million a year earlier. The annualised return on average equity for Q2 was 20.8%, and for the first half of 2025, it was 18.6%, both lower than the prior year’s figures.
IGI Group president & CEO Waleed Jabsheh (pictured above) said, “We had another quarter of strong profitability with solid underwriting results and investment income.”
Jabsheh also said that market conditions “remain generally favorable across our markets but are showing significant variation by line of business and geographical territory.”
Gross written premiums for the third quarter were US$131.3 million, compared to US$138.3 million in the prior year’s quarter. For the first nine months of 2025, gross written premiums were US$525.6 million, nearly unchanged from US$525.5 million for the same period in 2024.
Underwriting income for the third quarter was US$51.4 million, compared to US$41.4 million a year earlier. For the first nine months, underwriting income was US$114.3 million, down from US$138.7 million in 2024. The company noted that underwriting income for both periods was affected by lower net premiums earned and currency revaluation movements.
The loss ratio for the third quarter was 39.3%, compared to 51.5% in the prior year, with the improvement attributed to a lower level of large loss activity and the currency devaluation of non-US dollar loss reserves. For the nine months, the loss ratio was 49.3%, up from 45.3% in 2024, influenced by catastrophe losses of US$45.8 million and currency revaluation movements.
The net policy acquisition expense ratio stood at 15.9% in the third quarter, versus 15.6% a year earlier. For the first nine months, the ratio was 17.3%, compared to 16.4% in 2024, with the increase mainly due to US$11.1 million of reinstatement premiums on loss-affected business.
General and administrative expense ratios were 21.3% for the third quarter and 20.5% for the nine-month period, compared to 18.9% and 18.8% in the respective periods of 2024. The company attributed the higher expense ratios to lower net earned premiums.
The combined ratio for the third quarter was 76.5%, compared to 86.0% in the prior year, while for the nine months it was 87.1%, up from 80.5% in 2024. Both periods were affected by currency revaluation movements.
