Riyadh – Mubasher: Al Etihad Cooperative Insurance Company suffers a net loss after Zakat of SAR 92.19 million for the first half (H1) of 2026, higher by 21.93% than SAR 75.61 million in H1-25.
The company attributed the widening half-year loss to a decline in investment results and lower reinsurance recoveries for incurred claims. Insurance revenue for the six-month period remained relatively flat at SAR 603.16 million.
In the second quarter (Q2) of 2026, the company recorded a net loss of SAR 52.63 million. While this dropped by 17.37% from the SAR 63.69 million loss in the prior-year quarter, it marked a 33.02% increase in losses compared to Q1-26.
Quarterly insurance revenue fell by 4.89% year-on-year (YoY) to SAR 301.73 million, primarily due to lower gross written premiums in the medical insurance segment.
The company’s independent auditor issued a material uncertainty warning regarding its ability to continue as a going concern.
Accumulated losses reached SAR 212.90 million, or 42.6% of the SAR 500 million capital, as of 30 June 2026. Furthermore, the solvency margin has fallen below the minimum requirements set by the Insurance Authority.
Management is currently implementing a corrective plan focused on pricing efficiency and claim management controls.
In Q1-26, Al Etihad Cooperative Insurance generated net profits attributable to the shareholders worth SAR 9.42 million.
