IDI Insurance: comprehensive income of ~NIS 89 million in Q1 2026

IDI Insurance continues to grow its customer base across all lines and to improve underwriting profitability in most of them, including in Q1 2026. We have been delivering profitable growth for an extended period thanks to the implementation of successful strategic moves, attractive pricing for customers alongside quality service, the understanding and professionalism of our teams, our broad data and the strong technological capabilities we have built.

In Q1 we continued to lead the motor property line and to grow the number of policies (excluding the Accountant General tender). In addition, we continue to expand our insurance product mix, growing premiums and customers also in life, health and home insurance for a sustained period — diversifying and strengthening the company.

IDI Insurance will continue to expand its operations through growth in all core activities, with a particular emphasis on health, alongside the development of new financial products such as our savings policy, marketed at the lowest management fees in the industry. As an innovative company we will continue to embed AI technologies for future growth, operational excellence and improved service to our customers.

Highlights of Q1 2026 (IFRS 17 terms)

• Gross premiums in Q1: Totaled ~NIS 1.0 billion, vs. ~NIS 1.1 billion in the corresponding quarter last year. The decline in gross premiums is mainly attributable to the company not winning the Accountant General (Hashcal) tender in the reported year. Excluding Hashcal tender premiums, gross premiums declined by ~1%, also affected by a decline in motor property prices on one hand and an increase in activity across all of the company’s lines on the other — reflected primarily in growth in the customer base and in policies per customer.
• Gross premiums — general insurance in Q1: Totaled ~NIS 831.8 million, vs. ~NIS 982 million in the corresponding quarter last year. As noted, the decline is mainly due to the Hashcal tender impact; excluding that effect, gross premiums in general insurance declined by only ~2%.
• Gross premiums — life insurance in Q1: Totaled ~NIS 95.6 million vs. ~NIS 91.6 million in the corresponding quarter last year — growth of ~4%.
• Gross premiums — health insurance in Q1: Totaled ~NIS 78.1 million vs. ~NIS 73.7 million in the corresponding quarter last year — growth of ~6%, driven by growth of 16% YoY in critical illness, medical expenses and travel products.
• Net investment income (including other comprehensive income and finance income): Totaled ~NIS 58.7 million vs. ~NIS 54.3 million in the corresponding quarter last year.
• Net finance expenses from insurance contracts: Totaled ~NIS 34.9 million vs. ~NIS 25.3 million in the corresponding quarter last year, primarily due to changes in the interest-rate curve.
• Profit from insurance services net of operating expenses: Totaled ~NIS 129.9 million vs. ~NIS 114.2 million in the corresponding quarter last year — growth of ~14%.
• Comprehensive income before tax — general insurance: Totaled ~NIS 110.2 million vs. ~NIS 77.7 million in the corresponding quarter last year — growth of ~42%, primarily due to improvement in profit from insurance services and a decline in finance expenses from insurance contracts.
• Comprehensive loss before tax — life insurance: Totaled ~NIS 15.2 million vs. profit of ~NIS 28.4 million in the corresponding quarter last year, due to an outlier (non-representative) claims ratio, an increase in finance expenses from insurance contracts, and growth in investment-contract expenses in line with the segment’s growth plan.
• Comprehensive income before tax — health insurance: Totaled ~NIS 6.9 million vs. ~NIS 5.7 million in the corresponding quarter last year — growth of ~21%, driven by a significant improvement in profit from insurance services.
• Comprehensive income for the quarter: Totaled ~NIS 89 million, similar to the corresponding quarter last year; growth in profit from insurance services across all lines except life insurance, offset by an increase in finance expenses.

Dividend

On May 27, 2026, the board of directors approved a dividend distribution of ~NIS 65 million, representing ~73% of Q1 2026 profits, based on the company’s capital management plan.

Solvency

Per the Insurance Authority’s requirements, the company recorded a high solvency ratio of ~134% as of December 31, 2025, after deducting dividends declared after 31.12.2025.

Return on equity

In Q1, the company recorded a return on equity of ~28% on an annualized basis.

About the company

IDI Insurance Ltd. (“IDI” / “Direct Insurance”), pioneer of direct insurance in Israel, has been operating for over 30 years and is the largest and leading company in its field. The company is held ~40.6% by Direct Insurance — Financial Investments and the controlling shareholders, with the majority held by the public. The company operates on a differential pricing model that scores each consumer based on their individual data. This advantage — combined with advanced technology infrastructure and operational efficiency — allows the company to offer competitive prices and high service quality. The company offers a wide range of insurance services including auto, home, health, travel, mortgage insurance, savings policies, small business and life insurance.