Total insurance premiums in Oman during the first half of 2014 grew 8.8% year-on-year to OMR 226.79 million, according to quarterly report released by the Capital Market Authority (CMA).

Moreover, net earned premiums rose 15%. Total net earned premiums after reinsurance reached around OMR 122 million in the first half of 2014, against OMR 106 million during the corresponding period of 2013.

The total value of earned premiums reached OMR 107.4 million in the first half of 2014. While, net total commissions (charged by insurance companies from global reinsurers for reinsurance of their local insurance policies) reached OMR 8.1 million in 2014 compared to OMR 9.1 million a year earlier, losing 11%.

Although growth rates are unstable, most segments registered good growth, except property, life and other insurance. Health insurance came on the top of the list with a 30% growth, followed by engineering with 16%.

The property and health segments topped in terms of growth in net earned premiums, registering an increase of 124% and 61%, respectively.

The sector reached a three percent growth in total retention to 54%. The vehicle segment posted the highest retention rate, with 87% for comprehensive insurance and 84% for third-party insurance.

Retention in property, transport and engineering were the lowest, recording 17 %, 19% and 21%, respectively, as a result of reinsurance of the bulk of these risks. Whereas, retention in the health segment increased to 50% compared to 41% in 2013.

The five largest insurers in the Sultanate include four national firms, which represented 54% of total direct premiums. Among them, Dhofar Insurance Co ranked 1st with a 17.3% share of gross premiums, at OMR 39.3 million, followed by National Life and General Insurance Co and Oman United Insurance Co with 16.98% and 10.7% respectively.