Oman: Takaful grew 18% to $109.2 mln in 2016
Source: Middle East Insurance Review | Sep 2017
Takaful contributions surged by about 18% to OMR42.06 million (US$109.2 million), representing 9.3% of the total market share, according to the Capital Market Authority (CMA) annual report.
Takaful’s performance was higher than the 2% premium growth of the overall insurance market. Oman’s GWP, including takaful, reached OMR450.24 million in 2016 compared to OMR442.08 million the previous year.
The CMA report said that general takaful, launched in 2014, represented 90% of total takaful business at OMR37.68 million, while family takaful made up the remaining 10%.
The total paid claims for takaful business stood at OMR20.62 million, representing 7.7% of the gross claims paid by insurers.
“We would like to emphasise that CMA will continue the sustained development process and the indicators are evidence of the efforts and the attentiveness CMA attaches to this vital sector,” said CMA Executive President Sheikh Abdullah bin Salem Al Salmi.
As for insurance legislation and regulation in 2016, the Takaful Law was promulgated and the Regulation for Licensing Requirements for Insurance Agents issued. The CMA board also approved amendments to the Insurance Brokers Regulation. This was in addition to the issuance of the Unified Motor Insurance Policy.
Omanisation reached the desired ratio in the insurance sector. The number of employees and insurance brokers reached 2,543 which included 1,695 locals in various administrative and technical roles. The Omanisation rate reached 67%. M
OMR1 = US$2.59