United Overseas Insurance maintains growth outlook on strength of fire segment

Thanks to its Singapore market and access through UOB’s bancassurance channel.

United Overseas Insurance Limited (UOI) is expected to maintain stable growth over the medium term, supported by its strong financial fundamentals, disciplined underwriting, and strategic ties to parent company United Overseas Bank (UOB), according to AM Best.

The company’s business remains concentrated in Singapore, with about 75% of gross premium sourced domestically, but regional expansion is anticipated in line with UOB Group’s broader strategy.

UOI continues to generate strong underwriting profits, bolstered by its focus on the fire segment of Singapore’s non-life insurance market and access to business through UOB’s bancassurance channel. 
Its insurance revenue grew in 2024, contributing to solid earnings alongside favourable investment returns.

The company’s capital position remains strong, with AM Best expecting its risk-adjusted capitalisation to stay at the highest level over the medium term. 

UOI’s shareholder equity rose 5.9% in 2024, driven by unrealised investment gains and retained earnings. 

Exposure to large losses is mitigated through reinsurance with well-rated counterparties, helping to manage balance sheet volatility.

Whilst UOI maintains a moderate investment risk profile—mainly in high-quality fixed-income securities, cash, and deposits—the insurer has room to grow as regional opportunities emerge. 

As the sole insurance arm of UOB, UOI is well-placed to leverage group synergies for sustainable expansion.