The UAE Insurance Authority (IA) will “soon” issue regulations on life insurance and family takaful products, according to Mr Ebrahim Obaid Al Zaabi, Director General of the IA.
Delivering the opening address at the 12th annual World Takaful Conference (WTC) in Dubai in April, he said “the Authority is working on the organisation of life insurance and family takaful project and the companies are required to submit their feedback and suggestions in preparation for its issuance during the next phase”.
“The regulations will be issued at the earliest,” he said on the sidelines of the conference, without indicating a time line.
IA in 2016 released a consultation paper on regulations that have the potential to fundamentally change the way life products are priced and sold in the UAE.
The UAE is considered a leader in the global takaful industry and a world leader in Islamic financial transactions. The number of takaful companies licensed by the Authority rose from three in 2007 to 11 by the end of 2016, he said.
The written premiums reached AED3.64 billion (US$991 million) and the total assets hit AED8.79 billion in 2016, he said and added that the share capital of the companies increased to AED2.69 billion by the end of 2016.
“The UAE ranks among the top ten in the world in recording a significant growth in premiums,” he said.
Mr Salmaan Jaffery, Chief Business Development Officer, Dubai International Financial Centre (DIFC) Authority, said in his keynote speech that there are unprecedented opportunities for takaful industry which is being taken up by the younger generation who embraces new technology and digitisation in the fourth industrial revolution. He called upon the industry to derive benefits from the incredible chances offered by Islamic FinTech.
The two-day WTC is organised by Middle East Global Advisors and held in strategic partnership with the DIFC Authority, under the theme “Stability, Authenticity & Technological Transformation”. M
AED1 = US$0.27