Islamic Arab Insurance Salama: Press release regarding the financial results for the year 2021

Date: 03/30/2022

SALAMA reports an audited net profit of AED48.17 million for the financial year 2021; confident outlook for 2022 driven by digital transformation

Dubai, March 30, 2022: Islamic Arab Insurance Company, listed “SALAME” on DFM, has received Board approval for its audited financial statements for the year ended December 31, 2021.

Strong points:

• • Net profit for the year reached AED48.17 million.

• • Gross written contributions reached AED 1.09 billion amid a challenging macroeconomic environment.

• • Assets under management (AUM) increased by 7.5% year-on-year thanks to increased stakeholder confidence in SALAMA.

• • The solid performance of subsidiaries in Egypt and Algeria reached 38 million in 2021, up 19% year-on-year.

• • Subject to regulatory approval, the Board will propose to the General Meeting a cash dividend of 3fils/share for the period ending December 31, 2021.

• • SALAMA has made significant investments in product innovation and digital transformation initiatives to deliver an omnichannel experience and improve operational efficiency.

• • Outlook: In 2022, SALAMA will focus on expanding its business, supported by strong balance sheet performance.

In 2021, SALAMA made great strides in increasing assets under management and improving operational efficiency. During the year, SALAMA management focused on improving underwriting capabilities, attracting new business, creating newrevenue streams and invest in digital transformation and customer-centric initiatives.

The rollout of SALAMA’s digital transformation strategy in 2021 led to a series of new initiatives designed to enhance its existing product line and provide customers with an omnichannel experience, and included developments such as the launch of a Motor B2C portal revamped and the introduction of a health plan with instant card activation. These enhanced digital capabilities have also paved the way for the launch of innovative new product lines such as pet insurance, which customers can purchase online in less than five minutes.

In addition, SALAMA’s digitization efforts have also resulted in increased operational efficiency, including through the automation of internal processes and the use of enhanced security measures to protect customer data and detect and respond to incidents. as they arise.

The introduction of API-based services has also allowed SALAMA to seamlessly integrate banks, aggregators and e-commerce partners into its systems.

Product-wise, SALAMA has upgraded and launched five online Takaful products, including Pet, Motor, Medical, Home Content & Term Life, giving customers access to unique Takaful solutions and cutting-edge paperless treatment. end in the comfort of their homes or offices.

At the operational level, the Company’s profitability in the UAE was affected by an increased number of claims and broader macroeconomic factors. SALAMA’s subsidiaries, particularly in Algeria and Egypt, continued to outperform compared to the previous year.

SALAMA’s gross written premiums remained consistently above the one billion mark at 1.09 billion in 2021.

Commenting on the results for the 2021 financial year, Jassim Alseddiqi, SALAMAit’s President, said: “Despite the uncertain economic environment in 2021, we remained focused on executing our strategy and creating value for our shareholders. Our strong approach to improving our operations has led to SALAMA’s dramatic transformation across many many fronts, from digitizing operations to innovation. SALAMA’s position as a leading and progressive takaful player in the UAE is stronger than ever and looking to the future, we are confident on our medium and long-term growth prospects.We are well placed to create sustainable value for our shareholders and to be a partner of choice for our policyholders.“

Fahim Al Shehhi, CEO of SALAMAsaid: “We entered 2022 with good momentum in most areas, particularly in the way we very effectively implemented our digital transformation efforts to improve operational efficiency, adopted best practices from the industry, introduces more digital-first and customer-centric product offerings and product lines, expands strategic relationships with key partners, and continues to support key ecosystems that are critical to our economy. to be there for our policyholders as a trusted partner, providing them with the financial security and peace of mind we have always had.”

The Board of Directors will propose to the Annual General Meeting (to be held in April 2022) a cash dividend of 3fils/share for the period ending December 31, 2021, subject to regulatory approval.

SALAMA is the largest Shariah-compliant Takaful operator with a “AAA” capital adequacy rating according to S&P. SALAMA remains committed to serving its partners and customers while enhancing shareholder returns in 2021 and beyond.

-Ends-

About SALAMA Islamic Arab Insurance Company

SALAMA Islamic Arab Insurance Company is one of the largest and oldest in the world.–established Sharia Takaful compliant solution providers listed on the Dubai Financial Market with a paid-up capital of Dhs 1.21 billion. SALAMA has been a pioneer in the Takaful industry since its incorporation in 1979 until today.

The stability and success of SALAMA can be attributed to its clientcentered approach, keeping customers and partners at the heart of the business, and its commitment to its core values ​​and principles. SALAMA continues to design and develop solutions that meet ever-changing customer demand. Today,

SALAMA is recognized for providing the most competitive and diverse range of Takaful solutions in the region.

SALAMA serves individual and institutional clients in the UAE and, through its extensive network of subsidiaries and associates in Egypt and Algeria.

As the leading Takaful company in the United Arab Emirates, SALAMA offers a full range of family, automotive, general and Takaful health solutions. Due to its reputation for high quality products and services and

implementation of Takaful best practices, SALAMA won the “Family Takaful Company of the Year” award–2015′ award at Middle East Insurance Awards, ‘Best Family Takaful Operator ME – 2016′ to Islam

Banking and Finance Awards, ‘Best Takaful Operator – 2019′ by the Islamic Banking and Finance Awards as well as other distinctions. The company has also been recognized as the ‘Takaful Company of the Year-2020′ in the Middle East Insurance Industry Awards and more recently as a Takaful specialist in

of the Year” at the MENA Insurance Review Awards.

SALAMA continues to be the preferred Takaful partner of its partners and customers, remaining committed to “securing our future – togetheruh.’