Egyptian Life Takaful forges bancassurance ties with sixth bank
Source: Middle East Insurance Review | Mar 2018
Egyptian Life Takaful Company (GIG) aims to market its products through 10 branches of Misr Iran Bank during the first year of activating their bancassurance agreement. It has received the approval of the Central Bank of Egypt and the Financial Regulatory Authority (formerly the Egyptian Financial Supervisory Authority) for the agreement.
The insurer plans to start at about five branches of the bank at the preliminary stage, said its Managing Director Ramah Asaad. The company aims to cover all the bank’s 20 branches in two years, reported Al Masry Al Youm.
Egyptian Takaful Insurance Company (GIG) has signed bancassurance contracts with five other banks – Audi Islamic Bank, Abu Dhabi Islamic Bank, Misr Bank, National Bank of Kuwait and National Bank of Abu Dhabi- Egypt.
Mr Asaad said the takaful company is targeting new premiums of EGP50 million (US$2.8 million) from bancassurance operations in the current fiscal year ending 30 June 2018 by expanding its geographical network in the banking sector to 200 branches during that period, up from the current 120 branches.
He added that the company aims to increase its total premiums to EGP400 million during the current financial year, representing a targeted growth rate of 14.6% from the previous year.
He said that the takaful operator has four main objectives: expanding marketing channels, strengthening the capital base, developing its geographical network, and offering a diversity of products.
Shareholders have already agreed to increase the company’s capital from EGP130 million to EGP200 million. Its shareholders include banks in Egypt with Kuwait’s Gulf Insurance Group being the major shareholder. M
EGP1 = US$0.06