Middle East - Bahrain: Insurers can do more to develop life insurance
Source: Middle East Insurance Review | Jun 2016
Bahraini insurance companies can do more to develop their life business, according to Mr Ali Al Daylami, General Manager of Insurance at Bahrain Credit, who was suggesting areas of growth for the insurance sector.
He noted that some foreign insurance companies are working on life insurance products, and he believed that local insurers too could enlarge their portfolios in the life segment, reported Al Wasat News.
In addition, the introduction of mandatory health insurance in Bahrain would help develop the life insurance market, he said.
Mr Daylami also said that insurance companies have to think seriously about M&A given the increasing competition in the Kingdom and the difficulty faced by small insurers to increase their capital.
He said that the Bahraini insurance industry could see growth this year despite the economic atmosphere caused by falling oil prices. He said: “It is obvious to everyone that the economic situation in the region in general has changed, and in Bahrain, of course, as part of the region; and the insurance sector is linked to the general economic situation.”
Yet, insurance industry players expect insurance premiums will grow this year at rates ranging between 10% and 15%, pointing out that engineering insurance business will expand, driven by new projects in the public and private sectors.