We are 10 this New Year.
Middle East Insurance Review has been around for the past 10 years in the region, riding the roller coaster journey sometimes breathlessly but always rising to the dynamism of the region. It was also great seeing several projects launched during the decade including the MENA Insurance CEO Club.
We have seen many insurers and reinsurers come with gusto and leave in a hurry, and have also seen many of our own competitors come and leave in a hurry in 10 years. We have survived and live to tell the tales of the past decade for the insurance industry. Hence, our Cover Story is on the roasts and raves of the industry, recording the toughest challenges and highest achievements too. It is an interesting and constructive if not nostalgic read.
And in April where we can find a free slot in the busy calendar of the region in this leap year, with MEIF in February in Bahrain, Multaqa Qatar in March in Doha and the GAIF Conference in May, we are hosting our 10th Anniversary Summit to challenge the basic maxim of the industry – “Underwriting for Profit: Myth or Reality”. For 10 years, we have heard everyone moan about weak underwriting skills and appallingly low rates and the dependence of reinsurance commissions and investment returns to avoid the red figures in the balance sheet. So be prepared to send your soldiers to be preached about the basics of the business, and to actually reap the benefits of this maxim with their heads held high.
With RIMS coming to town (read our Middle East Risk Forum coverage) to spread the risk management cause, corporate buyers should begin to appreciate that there is a basic burning cost for underwriting any risk. The challenge is for insurers to engage risk managers convincingly to show them the science behind pricing beyond just relationships. There are non-insurance industry-based risk managers out there who are themselves eager to promote the cause. Go spot them to bring them into the fold.
Our Country Profile is on Oman, hit by more tropical cyclones with greater damages, seeing an increase in risk awareness and benefitting from a stronger regulatory environment.
With the New Year, we bring you greater insights into one of the hottest issues of the day – cyber. Cyber risks have become endemic, with the enemy not just at the gates but within too, as employees become just as vulnerable. Cyber exposures are on everyone’s mind, though the extent and depth of the impact is mind-boggling. But help is at hand to make businesses cyber resilient and there are brave attempts to create cyber risk models even as the scenario is still evolving dramatically. Even regulators are not only at risk, but on the learning curve too. But the need to be cyber resilient is urgent.
Health is another hot and unique issue in the region, with runaway compulsory covers. And we offer an interesting strategic poser on whether to fight or join the disruptors in the digitisation of health insurance.
On takaful, we look at the recent papers by IAIS and IFSB on supervising and regulating microtakaful, which is being touted as the next growth wave for the market.
It is the New Year and we continue to focus on the winners of the 2nd Middle East Insurance Industry Awards (MIIIA), capturing the excitement of the winners as they share the meaning of the victory to them and their plans to celebrate their awards.
I take this opportunity to wish all our readers the very best for 2016. May the Force bring peace in the valley and calm all hostilities and volatilities. Make the year different!
Sivam Subramaniam
Editor-in-Chief
Middle East Insurance Review