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Magazine

Mar 2020

News


MENA

GCC: Gulf financial wealth could run out by 2034 without reforms: IMF

As global oil demand is expected to peak in the next two decades, the associated fiscal imperative could be both larger and more urgent than implied by the GCC countries’ existing plans to reduce their reliance on oil and implement reforms to diversify their economies as well as fiscal and external revenues, said the International Monetary Fund (IMF) in a report.
 


GCC: Growth potential supports stable outlook for region's insurance markets

Potential premium growth following the rollout of mandatory health insurance in Oman and Bahrain, as well as short-term growth opportunities arising from the 2020 World Expo in the UAE, are key factors supporting a stable outlook for the GCC insurance market, said AM Best.
 


GCC: Society of Actuaries US delegation visits Saudi Arabia and the UAE

Society of Actuaries (SOA) president Andrew Rallis and senior director (international) Andy Peterson visited Saudi Arabia and the UAE on 7 to 12 February. The visit was coordinated by SOA ambassadors Ahmed Alqarishi (Saudi Arabia) and Shoaib Soofi (the UAE). 
 


Algeria: Sector expects anaemic conditions this year

For Algeria’s insurance industry as a whole, 2019 was a year without growth, Mr Hassen Khelifati, CEO of Alliance Assurances, has said, adding that this was so even as his company managed to increase its turnover by 4%.
 


Bahrain: Regulator sets out benefits in unified own-damage motor policy

The Central Bank of Bahrain (CBB) has issued a resolution on the Unified Own-Damage Motor Insurance Policy, in order to develop insurance services in the kingdom, to provide insurance on a sound and fair basis, and to set the minimum benefits for policyholders.
 


Bahrain: Trust Re partners FinTech Bay

Trust International Insurance and Reinsurance Company (Trust Re) has become an international partner of Bahrain FinTech Bay, a FinTech hub in the Middle East region.
 


Egypt: Fund to be set up to insure state assets

A fund will be established to manage insurance cover on government assets, Mr Reda Abdel Moaty, vice chairman of the Financial Regulatory Authority (FRA) has said.
 


Egypt: Regulatory official upbeat about prospects for sector

Mr Reda Abdel Moaty, vice chairman of the Financial Regulatory Authority (FRA), has said he is bullish about the growth of the insurance sector in the new year, with the optimism stemming from the positive economic indicators.
 


Jordan: Comprehensive health insurance scheme targeted to cover all citizens by 2024

The Council of Ministers has approved the executive plan for comprehensive health insurance in Jordan, said media reports citing Health Minister Saad Jaber. 
 


Jordan: Sector maintained steady performance in 2019

Total written premiums in the Jordanian insurance market grew by 1.4% y-o-y to JOD614.5m ($866.7m) in 2019, according to unaudited preliminary data released by the Jordan Insurance Federation. Total compensation paid by the industry increased by 1.6% to JOD473.8m in 2019, compared to the same period in 2018.
 


Kuwait: Supreme committee to be set up for insurance supervisory unit

Minister of Commerce and Industry, Mr Khaled Al-Roudhan, has issued a decision to form the Supreme Committee for the independent insurance supervisory unit, to regulate insurance business in Kuwait, as stipulated by the state’s new insurance law.
 


Kuwait Re reported 40% jump in net profit to $15m for 2019

Kuwait Reinsurance has reported a surge of 40% in net profit to KWD4.73m ($15.4m) for 2019 compared to the previous year, according to a statement issued by the company. GWP increased by 22% y-o-y to KWD56.96m.
 


Morocco: Govt works to reduce motor accident fatalities

The authority aims to reduce the number of road accident deaths in Morocco to below 1,900 a year by 2026, said media reports. The number currently stands at more than 3,000.
 


Saudi Arabia: SAMA releases draft bancassurance rules

The Saudi Arabian Monetary Authority (SAMA) has started a consultation exercise on draft rules governing bancassurance. 
 


Saudi Arabia: Healthcare spending reached $40bn in 2018

An analysis by the daily newspaper Al-Eqtisadiah showed an increase in total spending on healthcare at a CAGR of 2%, in line with the growing population, as it rose to SAR150bn ($40bn) in 2018 from SAR141bn in 2015.
 


Turkey: Call for masterplan to deal with uninsured fire risk

The solution to uninsured fire risk in Turkey is to start by drawing up a masterplan on how to mitigate the risk, Turkey Insurance Adjusters Association president Ahmet Nedim Erdem has said.
 


UAE: Nearly half of employees fear for their long-term health

Almost half (45%) of the people employed in the UAE have said they are worried about their long-term health, according to a new study.
 


UAE: Orient Insurance's net profit up 6% to $116m

Orient Insurance saw its net profit grow 6% y-o-y to AED425.1m ($115.8m) in 2019, while its GWP increased by 5.4% y-o-y to AED3.9bn. 
 


UAE: ADNIC saw net profit jump 21% to $77m in 2019

Abu Dhabi National Insurance Company (ADNIC) has delivered a strong set of financial results for the full year ended 31 December 2019, with net profit up 20.7% y-o-y to AED284.3m ($77.4m). GWP surged by 29% y-o-y to AED3.76bn in 2019, while net technical profit rose 1.6% to AED143.7m.
 


UAE: Oman Insurance's 2019 profits of almost $52m the highest in 5 years

Dubai-headquartered Oman Insurance Company (OIC) has posted a net profit of AED190.5m ($51.9m) for 2019, up 1,786.1% y-o-y, making it the best performing year for the company since 2014, according to a corporate statement. 
 


UAE: Authorities outline liability for medical treatment of coronavirus cases

People in the UAE who have contracted the new novel coronavirus (COVID-19) must be treated free of charge, the health authorities have clarified.
 


UAE: Fidelity United swang back to profit in 2019

Fidelity United is back in the black and posted a net profit of AED1.4m ($381,212) in 2019, compared to a net loss of AED9.4m in 2018. GWP grew by 51% y-o-y to AED221.3m in 2019.  
 


UAE: RFIB and Tysers complete acquisition deal

RFIB Group has announced that the M&A transaction with Tysers has been completed, signalling that the Lloyd’s specialist broker is now part of a global family of companies with presence in Asia, the Middle East, Australia, Europe and Bermuda. 
 


Global

Life insurers should stress test economic risk of pandemics

The 2019 novel coronavirus is a timely reminder for life insurers to stress test their balance sheets in the event of a pandemic outbreak.
 


Insurance Europe supports IAIS work on climate-change related disclosures

Insurance Europe, the European insurance and reinsurance federation with 37 member countries, has published its response to a consultation by the International Association of Insurance Supervisors (IAIS) on its draft issues paper on the implementation of recommendations by the Financial Stability Board’s Task Force on Climate-related Financial Disclosures (TCFD). 
 


Global insurance M&A at a four-year high

The volume of M&A in the insurance sector increased 10% in 2019 with 419 deals completed worldwide, up from 382 in 2018, according to the latest insurance growth report published by global law firm Clyde & Co. Activity was driven by an exceptionally strong first half of the year, led by a spike in deals in Europe that had been put on hold during Brexit preparations. Although M&A dropped back in the second half of the year, activity globally remained buoyant compared to the levels of recent years. 
 


Takaful

Egypt: Misr Emirates Takaful to set up special department to liaise with brokers

Misr Emirates Takaful Life Insurance intends to launch a new department for insurance brokers, which may be either companies or individuals, to serve them and facilitate ways of dealing with them, as they play the most important role in the production cycle of the insurance sector, especially the life business.
 


Malaysia: Ecosystem and other factors fuel growth opportunities for takaful

The creation of an Islamic finance-enabling ecosystem is the key driver of the takaful industry’s growth in Malaysia, Fitch Ratings said.
 


Malaysia: PruBSN pledges support for Malaysian Takaful Association's national campaign

Prudential BSN Takaful Berhad (PruBSN) is one of the takaful operators partnering with Malaysian Takaful Association for the ‘Race for Cover: Towards Takaful 2020’ campaign. 
 


Pakistan: Pak-Qatar Takaful expands network to over 100 branches country-wide

Pak-Qatar Takaful Group (PQTG), Pakistan’s pioneer and the largest takaful operator, has announced the completion of opening over 100 branches across more than 90 cities in the country. 
 


Qatar: QIB introduces a suite of takaful products on mobile app

Qatar Islamic Bank (QIB) has become the first bank in Qatar to offer takaful plans on its mobile app, enabling consumers to purchase the policies from anywhere, any time. QIB now has four types of takaful plans, underwritten by Damaan Islamic Insurance Company (Beema), on the app. 
 


Saudi Arabia: Al Ahli Takaful and CHUBB Arabia agree to hold preliminary merger talks

Jeddah-based Al Ahli Takaful said its board of directors has resolved to enter into preliminary discussions with Chubb Arabia Cooperative Insurance to study the possibility of merging the two companies.
 


UAE: Dar Al Takaful in exclusive talks to acquire Noor Takaful

Dar Al Takaful has executed a conditional offer letter with Noor Investment Group and Noor Bank to acquire I00% of the shares of both Noor Takaful General and Noor Takaful Family.
 


UAE: SALAMA posts 2019 profit surge, recommends first dividend since stock listing

Islamic Arab Insurance Company (SALAMA) has posted preliminary unaudited net profit of AED55m ($15m) for the year ended 31 December 2019.