QIC registered a double-digit year-on-year growth in premiums of 13% to QAR 7.2 billion for 1H2020 compared to QAR 6.4 billion in 1H2019. However, the underwriting performance of QIC's international carriers, namely, Qatar Re, Antares, QIC Europe Limited (QEL) and its Gibraltar based carriers was impacted by the effect of the COVID-19 pandemic and the subsequent lockdown imposed on certain markets.
QIC's international business continues to account for 75% of the Group's total Gross Written Premiums, contributing significantly to the Group's diversification of its underwriting footprint.
In light of the prevailing turbulence in global financial markets, QIC's investment portfolio achieved a net investment result of QAR 152 million in 1H2020 compared to QAR 464 million in 1H2019.
QIC's administrative expense ratio for its core operations was 5.7% during the first half of 2020 as compared to 6.1% in 1H2019. Overall, the consolidated net loss of the Group for 1H2020 stood at QAR 198 million.
In May 2020, QIC Group successfully issued USD 300 million perpetual subordinated Tier 2 capital notes. While offering excellent security to policyholders, the new issuance further strengthened the Group's robust capital position and reinforced its efficient capital structure. Despite the current financial market turbulences, the interest from investors in the perpetual notes issuance was outstanding, demonstrating the level of confidence investors have in the QIC Group.
Commenting on the 2020 first half financial performance, Mr. Khalifa Abdulla Turki Al Subaey, Group President of QIC Group, stated:
"QIC Group benefits from its very strong and robust risk-based capital adequacy in combination with the scale and diversification of our business portfolio. We are encouraged by the resilience that the QIC Group demonstrated in these unprecedented times. While consumers and businesses in most of the key economies worldwide were in lockdown, we accomplished to grow our book of business by applying the set underwriting discipline and using efficiently our strong digital platforms. Furthermore, we successfully issued USD 300 million perpetual notes in a very volatile market environment. Both are a testament to the strengths of our brand and the confidence of our clients and investors in QIC Group."