Mediterranean and Gulf Insurance and Reinsurance (Medgulf)

Set up in Beirut (Lebanon) in 1980, Medgulf was initially a subsidiary of the conglomerate Saudi Oger detained by the Hariri family.

Medgulf

Since its beginning, the company has focused on the underwriting of health and motor risks. After a few years of operation, Medgulf stands along with Libano-Arabe, Arope, Union Nationale, Bankers and SNA among the leaders of the local market. In 1995, the company took the shape of a holding whose headquarter was in Bahrain.

Ever since, the group started rapid expansion. In partnership with Addison Bradley, a well-known broker on the London market, Medgulf has multiplied its establishments in the Middle East, especially in Saudi Arabia, its main market today, Jordan, United Arab Emirates, and London, of course.

From the position of first insurer of the Lebanese market in 2011, Medgulf had shifted to the third place in late 2015, just behind Allianz-SNA and Alico. The turnover, regressing for five years now, attained in 2015 a premium volume slightly above 115 million USD. After a heavy loss of 12 832 214 USD in 2014, accounted for by the health class of business, the insurer went back to profit-making in 2015.

The company’s portfolio is made up at 73.3% of non life risks among which 58.5% and 14.8% for health and motor risks respectively.


Lutfi Fadel El-Zein	Fadi Cherkawi
Chairman of the board	Group CEO

Megulf in 2015

Share capital	30 280 000 USD
Turnover	115 111 657 USD
Total assets	224 140 298 USD
Shareholder’s equity	72 400 000 USD
Net result	1 765 017 USD
Net non life loss ratio⁽¹⁾	81.6%
Non life expenses ratio⁽¹⁾	11.7%
Net non life combined ratio⁽¹⁾	93.3%
Network in Lebanon	12 subsidiaries
Number of employees	350

⁽¹⁾ including health insurance

Shareholding

A company wholly owned by Medgulf Holding SAL

Management

Chairman of the board	Lutfi Fadel El-Zein
Group CEO	Fadi Cherkawi

Medgulf main technical highlights: 2011-2015

in USD

	2011	2012	2013	2014	2015
Gross written premiums	124 532 257	119 753 018	135 022 896	129 376 764	115 111 657
Written premiums net of reinsurance	-	106 870 212	123 095 274	120 998 729	103 500 768
Non life gross written premiums	108 221 012	106 637 468	123 108 948	119 886 524	100 300 457
Net earned premiums	-	107 775 144	122 099 874	119 433 874	101 060 832
Net non life earned premiums ⁽¹⁾	106 861 452	96 729 453	111 902 287	111 836 592	88 353 115
Net incurred losses	-	92 552 743	108 795 397	114 016 810	83 809 022
Net non life incurred losses ⁽¹⁾	85 812 578	83 500 924	100 559 172	107 656 949	72 105 946
Management expenses ⁽²⁾	10 005 103	11 031 654	13 086 560	11 243 923	13 554 225
Non life management expenses ⁽³⁾	8 597 731	9 756 982	11 902 655	10 273 003	11 713 843
Net non life loss ratio⁽¹⁾	80.3%	86.3%	89.9%	96.3%	81.6%
Non life management expenses ratio ^{(1) (3)}	7.9%	9.1%	9.7%	8.6%	11.7%
Net non life combined ratio ⁽¹⁾	88.2%	95.5%	99.5%	104.8%	93.3%
Net undewriting result	-	1 195 072	6 815 064	14 531 659	3 373 921
Net result after tax	-	2 305 759	3 622 989	-12 832 214	1 765 017

⁽¹⁾ including health
⁽²⁾ management expenses = managent expenses + paid commissions
⁽³⁾expenses ratio = management expenses / gross written premiums

Medgulf: evolution of net non life ratios⁽¹⁾: 2011-2015

Medgulf non life ratios

⁽¹⁾ including health

Medgulf: breakdown of turnover per class of business (2011-2015)

in USD

	2011	2012	2013	2014	2015	2015 shares
Fire	4 996 262	5 848 531	5 839 340	5 600 534	6 622 682	5.8%
Motor	15 711 590	16 994 112	19 649 523	18 570 017	17 052 632	14.8%
Marine	752 992	1 095 858	1 064 187	879 185	1 080 005	0.9%
Accident	3 640 901	3 815 802	3 684 960	3 221 446	3 374 594	2.9%
Health	80 510 547	75 889 127	90 289 520	89 269 063	67 322 970	58.5%
Miscellaneous accident ⁽¹⁾	2 608 720	2 994 038	2 581 418	2 346 948	4 846 899	4.2%
Total non life	108 221 012	106 637 468	123 108 948	119 887 193	100 299 782	87.1%
Life	16 311 245	13 115 550	11 913 948	9 489 571	14 811 875	12.9%
Grand total	124 532 257	119 753 018	135 022 896	129 376 764	115 111 657	100%

Medgulf: breakdown of 2015 turnover per class of business

Medgulf turnover class of business

⁽¹⁾ including third party liability, contractor’s all risks, credit and other risks

Medgulf: net incurred losses per non life insurance: 2011-2015

in USD

	2011	2012	2013	2014	2015
Fire	765 942	418 971	433 633	252 439	277 235
Motor	10 543 583	11 448 322	13 718 046	12 522 190	10 318 922
Marine	329 204	35 987	55 302	42 854	34 991
Accident	2 268 834	2 422 031	2 803 420	2 347 618	2 386 103
Health	68 084 634	68 831 681	83 218 182	92 280 924	58 735 422
Miscellaneous accident ⁽¹⁾	3 820 381	343 932	330 589	210 924	353 273
Total non life	85 812 578	83 500 924	100 559 172	107 656 949	72 105 946

⁽¹⁾ including third party liability, contractor’s all risks, credit and other risks

Medgulf: net earned premiums per non life insurance: 2011-2015

in USD

	2011	2012	2013	2014	2015
Fire	4 712 771	1 512 488	2 266 505	1 528 027	1 727 334
Motor	16 694 849	17 077 492	17 613 300	17 647 308	18 262 506
Marine	725 821	367 014	483 496	351 540	402 394
Accident	3 499 325	3 408 437	3 723 046	3 125 693	3 146 480
Health	78 569 272	72 781 573	86 205 005	88 184 311	63 707 480
Miscellaneous accident ⁽¹⁾	2 659 414	1 582 449	1 610 935	999 713	1 106 921
Total non life	106 861 452	96 729 453	111 902 287	111 836 592	88 353 115

⁽¹⁾ including third party liability, contractor’s all risks, credit and other risks

Medgulf: net loss ratios per non life insurance: 2011-2015

	2011	2012	2013	2014	2015
Fire	16.3%	27.7%	19.1%	16.5%	16%
Motor	63.2%	67%	77.9%	71%	56.5%
Marine	1452.6%	9.8%	11.4%	12.2%	8.7%
Accident	64.8%	71.1%	75.3%	75.1%	75.8%
Health	86.7%	94.6%	96.5%	104.6%	92.2%
Miscellaneous accident ⁽¹⁾	143.7%	21.7%	20.5%	21.1%	31.9%
Total non life	80.3%	86.3%	89.9%	96.3%	81.6%

⁽¹⁾ including third party liability, contractor’s all risks, credit and other risks

Source: Insurance Control Commission - Lebanon (ICC)

Exchange rate LBP/USD as at 31/12	2014	2015
Exchange rate LBP/USD as at 31/12	0.0006696	0.0006729

Medgulf

Head office	Ahmed Medgulf Bldg., Patriarche Howayek Str. P.O.Box 113 6320, Beirut, Lebanon
Tel	+961 1 985000
Fax	+961 1 985005
E-mail	lebanon [at] medgulf [dot] com
Website	www.medgulf.com/lb

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Mon, 17/04/2017 - 11:05

Mediterranean and Gulf Insurance and Reinsurance (Medgulf)

Megulf in 2015

Medgulf main technical highlights: 2011-2015

Medgulf: breakdown of turnover per class of business (2011-2015)

Medgulf: net incurred losses per non life insurance: 2011-2015

Medgulf: net earned premiums per non life insurance: 2011-2015

Medgulf: net loss ratios per non life insurance: 2011-2015

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