We end 2020 still harangued by COVID-19 even as some markets enter the third or fourth wave of the virus. We hear the jingling of more than three vaccines sleighing in with more than 90% relief and protection.
Somehow, the Middle East seems to have been spared the worst of the COVID-19 spread; some speculate that it is the heat belt of the region and the lighter density of the population spread. But it is good news of course as most companies actually have all their staff working in the office.
The global numbers are staggering with more than 60m affected and almost 1.5m deaths caused by COVID-19.
Pandemic aside, 2020 has been a very hard year with the whole new world disorder. It is a scary spectre with increased fears over the climate and worse, the nuclear threat, too. The search for social justice has created more upturns. The US-China trade spats and global geopolitical tensions have spilled over into every aspect of business and even leading to tech wars. Cyber crimes harass the man in the street and his security.
It is a wake-up call for insurers, with the risk profile increasing and the pandemic slamming on the massive accumulation risks for underwriters. The pandemic alone is estimated to bleed the insurance markets by some $100bn in claims.
It is getting to be a hard market as rates are rising for reinsurers. Yet, there are still many insurers indulging in price undercutting as many of their clients are not able to afford the cover.
Despite this litany of moans, the December issue comes with a great package on the professionalism and stars of the insurance industry. The 7th Middle East Insurance Industry Awards saw a fantastic display of MEIR’s tech-prowess in creating an amazing two-tier platform for the award presentation ceremony in the red carpet room as well as private Zoom room for guests to interact and network through the wee hours. It was a ‘wow’ moment for the MENA insurance markets with 16 winners from Bahrain, UAE, Oman, Saudi Arabia and more. These winners will push the industry to higher standards. The stars are looking up!
Our country profile is on Kuwait where the excitement is over the long overdue set up of a specialised regulatory body. Will this spell a better future for the insurers in the market in transition as the low penetration is tackled actively?
This December we also bring you a host of features including the winners in the bancassurance game where both banks and insurers score; the hunt to set up a digitally-ready workforce; and being ready for old age with the right pensions and savings, as well as the good news about telehealth.
As we move towards the end of the year with Christmas in the air, it is time to think big and design a fool-proof budget to start 2021 on a sound, predictable footing, COVID-19 notwithstanding.
Stay clean and make sure that you are armed with data for all decisions and maintain strict data hygiene at all times. Don’t let the hacker lurk just a click away.
I take this merry moment to wish everyone the very best of the Yuletide season. There must be good news in the air, hear that jingling…
Sivam Subramaniam
Editor-in-chief
Middle East Insurance Review