IGI profits fall 16% as Middle East war losses weigh
International General Insurance (IGI) remained profitable in the third quarter, but Middle East war losses pushed up its combined ratio and drove net income down 16.4%.
Bermuda-based IGI’s combined ratio rose to 85.7% from 76.5% in Q3 2025, reflecting 6.9 points of accident-year catastrophe losses, including $3.2 million related to the war. This was partly offset by 7.1 points of favourable reserve development.
Net income fell to $28 million from $33.5 million a year ago, with both periods' results affected by significant losses, primarily related to the Middle East war.
Gross written premiums declined 9% to $119.6 million, including the impact of the non-renewal of two sizable reinsurance programmes.
Underwriting income dropped 16.4% to $43 million, reflecting a higher level of losses, again, primarily related to the Middle East war.
IGI Group president and CEO Waleed Jabsheh (pictured) said: “We delivered strong underwriting profitability in the third quarter demonstrated by a combined ratio of 85.7%, culminating in an annualised core operating return on average equity of 16.9%.
“We remain focused on disciplined portfolio management. The investments we have made in recent years to expand and diversify our capabilities — including our specialty reinsurance business, and the establishment of our new platform in India — are generating profitable new opportunities, even as market conditions become more challenging.
“As always, we continue to demonstrate our ability to perform at a high level, delivering high-quality, risk-adjusted returns and creating long-term shareholder value. For the first nine months of 2026, we generated an annualised core operating return on average equity of 13.8%, while absorbing the single largest loss event [Middle East war] in IGI’s 25-year history, and returned almost $80 million in shareholder capital through dividends and share repurchases.”
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