Kuwait: Zamzam Takaful expected to maintain underwriting profitability

Source: Middle East Insurance Review | Nov 2026

Moody’s Ratings has assigned Zamzam Takaful Insurance Company a ‘B1’ insurance financial strength rating (IFSR) with a stable outlook. The agency expects the insurer to maintain underwriting profitability and adequate capital buffers, supported by a five-year average combined ratio of 89.6% and return on capital of 10.3% as of end-2025.

Zamzam’s consolidated equity reached KWD18.3m ($59.3m) at end-2025, with regulatory solvency buffers comfortably above minimum requirements. Its net income reached KWD2.6m in the first half of 2026. However, its modest market position, concentration in motor third-party liability insurance and complex group structure constrain its rating.

Moody’s highlighted elevated asset and liquidity risks, with receivables exceeding 85% of consolidated equity at end-2025. Although liquidity was observed to have improved in June 2026, governance challenges, concentrated ownership and the potential commingling of insurance and non-insurance assets continue to weigh on the rating. M

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