Qatar - Premiums jump by a third to over $3 bln in 2015
Source: Middle East Insurance Review | Nov 2016
Insurance premiums in Qatar leapt by 33.5% to more than QAR11 billion (US$3 billion) in 2015, according to Qatar Central Bank (QCB) Governor Sheikh Abdullah bin Saud al-Thani.
Speaking at the opening session of the 49th International Association of Engineering Insurers (IMIA) Conference in Doha recently, he said that the financial performance of insurers reflected “great activities in the insurance sector, and insurers stand as a key factor in supporting the financial system of the country”, reported Gulf Times.
He added: “The development of the insurance sector is at the top of the priorities of the QCB, taking into consideration its importance and role in supporting the economy.”
Speaking to reporters, IMIA General Secretary Dr Hans Mahrla said: “Qatar would be a good, attractive market because of the huge volume of investments. Every insurer would be keen on being here and doing business.”
He warned though: “But when too much insurance comes in, rates go down and conditions become wider and wider, which means the results would be negative after five to 10 years.”
Mr Ghazi Kamel Abu Nahl, Group CEO, Qatar General Insurance and Reinsurance, said that despite the impact of low oil prices, the resilience of Qatar’s economy has boosted insurance industry growth.
He said that the challenge for Qatari insurers is to venture abroad “once the maximum capacity is absorbed within the local market”.
“The challenge here in Qatar is more technical knowhow, more professionalism and more encouragement from the regulator so that insurance companies will absorb the capacity and then go outside.”
QAR1 = US$0.27