From Editor-in-chief
Financial centres - "Agents of change" in the GCC region
The future of insurance in MENA
Event - From evolution to excellence
Aon Benfield boosts resources in MENA
In search of a better tomorrow
Maintaining market stability
JIC seeks brighter future
AOIC cements position despite difficulties
FIC climbs to top five
Al-Nisr benefits from bold step
Apex calls for improving brokerage standards in Jordan
Shisha and life insurance - Seeing through the smoke
Medical malpractice claims in Dubai
In a fix over health insurance
Towards a robust supervisory framework for the MENA insurance industry
Regulating insurance in Iraq
The Swiss model for insurance regulation
Taking positives from the Arab unrest
Takaful in Pakistan: Innovation needed
Pakistan: Are windows a win-win?
Getting Islamic finance accredited
Growing takaful pool needs hands-on asset management
Adapting to the risks of climate change
Mena & Gcc: MICC announces “Energise Insurance in MENA” Essay Contest winners
Mena & Gcc: Enhancing customer experience a priority for life insurers – ME Life Summit
Mena & Gcc: Strong outlook for GCC reinsurance markets
Mena & Gcc: Middle East CFOs among the most optimistic in 2Q12 – Deloitte
Mena & Gcc: Competitiveness of MENA countries affected by political turmoil
Bahrain: Engineering drove premium growth in 2011
Egypt: Premiums reached US$1.6 bln in FY2011
Jordan: Micro-credit provider offers free health insurance to clients
Jordan: Gulf Insurance Group to integrate brands
Lebanon: Life and fire boost premium growth
Qatar: Doha Bank Assurance opens first retail branch
Qatari court to develop insurance dispute resolution with law firm
UAE brokers to increase capital under draft laws
UAE: HAAD approves new price list for medical services
UAE: OIC buys 51% of Turkish non-life insurer
UAE: Daman starts trial to use national ID for health services
UAE: Majority of Dubai’s finance executives plan to hire staff in 2H12 – survey
August disasters add to economic losses – Aon Benfield
Bahrain: Takaful grows faster than conventional
Egypt: Tokio Marine buys up all of Nile Takaful
France: Swiss Life launches family takaful product
Malaysia: ING Public Takaful to extend branch network
Takaful Malaysia shows robust 1H earnings
Malaysia: Ikhlas to underwrite bereavement plan for non-Muslims
Malaysia: Mobile phone operator prices world’s largest yuan sukuk
Pakistan: Court order puts new takaful rules on hold
Pakistan: Pak-Qatar declares surplus
Sri Lanka: Amana Takaful records 32% growth, profit at group level in 1H
Turkey to issue local currency sukuk
UAE: AMAN, FWU Group and Emirates Money launch unit-savings plan
Global sukuk issuance maintains growth momentum – KFH Research
Strong demand to triple global sukuk by 2017 – Ernst & Young
Diary of Events
People on the move
Buy Now
Insurers, reinsurers and brokers operating in the GCC countries continue to be upbeat about the markets' future prospects. Mr Shashank Srivastava discusses the Qatar Financial Centre Authority's role in this promising environment.
Reinsurers have played a dominant role in shaping today's MENA insurance market, but regulators are the ones who hold the power to shape and lead the market's future, says Mr Mark Jeffrey of Kuwait Re.
Since its establishment 40 years ago, Abu Dhabi National Insurance Company (ADNIC) has grown from strength to strength to become an eminent player in the UAE’s insurance market. Middle East Insurance Review recaps its achievements.
Mr Ahmed Rajab, newly commissioned MENA CEO for Aon Benfield is excited about doing much more for the region as the company embarks on a capacity-building mission. By Ridwan Abbas
The past 18 months have been tough for Jordan’s insurance sector, with profitability falling to unprecedented levels, rates sharply declining, and some players’ solvency slipping below required standards.
Although the motor market has been a key priority for the Insurance Commission (IC) of Jordan, it has not neglected the other areas, including life & pensions, compulsory insurance and the current RBC regime. Mrs Rana Tahboub, recently confirmed as Director General of the authority, elaborates on the IC’s plans while calling on insurers...
The sector’s profitability is a big concern and the future of the market remains unclear, says Mr Imad Abdel Khaleq, Managing Director, Jordan Insurance Co (JIC).
Arab Orient Insurance Co (AOIC) has maintained its market leadership and is one of the few profitable insurers in Jordan. CEO Isam Abdelkhaliq explains its strategy.
For First Insurance Co (FIC), becoming one of the top five insurers in less than five years shows that the market rewards serious players, says Dr Ali Al Wazani, CEO.
Giving up its motor business has enabled Al-Nisr Al-Arabi Insurance Co to focus on better-performing lines like life, says Mr Yacoub Sabella, General Manager.
The Insurance Commission (IC) should revisit the regulations for intermediaries to safeguard the market and improve the profession, says Mr Zuhair Al Atout, CEO, Apex Insurance, Reinsurance & Consultancy.
Mr Rajesh Kumar Singh of Swiss Re debunks a few myths surrounding shisha smoking, and believes that stratified pricing for various types of smokers could be a differentiating factor for MENA life insurers.
The conflicting roles of the Dubai Health Authority is limiting the full impact of the the UAE's Medical Liability Law, say Messrs Wayne Jones and Alfred Thornton of Clyde & Co.
While the level of healthcare in the Middle East has developed markedly over the last few decades, complications for insurers and healthcare providers have emerged. Mr Mark Adams of Anglo Arabian Healthcare diagnoses the situation.
Enforcement plays a critical role in the success of a viable insurance market, serving as a credible deterrence and a tool to change behaviours, says Mr John R Cashin of Zurich.
Mr Ahmed Al-Jumaili of legal firm Al Tamimi & Co traces the evolution of insurance regulations in Iraq, looks at how the industry has progressed thus far, and provides suggestions for improvement.
In 2006, Switzerland started implementing the Swiss Solvency Test (SST), which is similar to the long-delayed Solvency II regime. The global insurance and reinsurance community may want to pay more attention to the Swiss experience, says Dr Kai-Uwe Schanz of Dr Schanz, Alms & Company AG, Zurich.
While the Arab Spring proved to be a huge challenge, market players can benefit from an improved risk assessment landscape and prospects for greater insurance penetration through the expansion of takaful. Mr Chakib Abouzaid of Takaful Re explains.
Takaful in Pakistan now stands at a crossroad and must seek to innovate and strengthen distribution channels and human capital as it pursues the next stage of growth. Mr Said Gul of Pak-Qatar Family and General Takaful assesses the market.
Pakistan's insurance regulator has introduced new takaful rules allowing conventional players to operate takaful windows, though this has been opposed by the country's existing takaful operators. We speak to Mr Taher G Sachak of EFU Life Assurance to find out what conventional insurers can offer the takaful sector in Pakistan.
Getting Islamic finance accredited Islamic finance needs to set common benchmarks to ensure high standards for its practitioners, says Mr Daud Vicary Abdullah of INCEIF.
At a time when uncertainty permeates the investment horizon, having the right asset allocation becomes even more important for insurers and takaful providers. We speak to Mr Mark Watts of National Bank of Abu Dhabi on the ins and outs of Shariah-compliant asset management.
In the winning entry to the essay competition recently organised by the MENA Insurance CEO Club (MICC), Mr Mohamad Chami of AROPE Insurance Co explains why a green fund is necessary to help the insurance industry cope with the challenges of global warming.
Mr Mohamad Chami, Senior Reinsurance Officer – AROPE Insurance Co, Lebanon, emerged the winner of the first-ever Essay Competition organised by MENA Insurance CEO Club (MICC) as part of its ongoing efforts to boost professionalism and increase the core of research material in the market.
Responding to the needs of today’s customers who are more risk averse and demand greater transparency would put insurers in a good stead to capture the opportunities in the region’s life market, said speakers at the 1st Middle East Life & Family Takaful Summit organised by Middle East Insurance Review in Dubai in September.
Market sentiment remains upbeat among reinsurers and brokers operating in the countries of the GCC, said the latest GCC Reinsurance Barometer.
CFOs in the Middle East reported the highest level of optimism during the second quarter of 2012, compared to 11 other geographies surveyed, according to a report by Deloitte.
The competitiveness of individual MENA countries has been hit by political turbulence, said the World Economic Forum’s Global Competitiveness Report 2012-2013.
The Bahraini insurance market grew 2% y-o-y to BHD214.94 million (US$570.1 million) in 2011, said the Central Bank of Bahrain (CBB).
Total direct premiums in Egypt reached EGP9.66 billion (US$1.6 billion) for the financial year ended 30 June 2012, with life and non-life premiums accounting for 58.8% and 41.2% of the market, respectively, said media reports.
Tamweelcom, a leading micro-credit provider in Jordan, has launched an initiative to provide free health insurance to its clients and their dependents in cooperation with the Noor Al Hussein Foundation’s Institute for Family Health (IFH) and Pharmacy1.
The Gulf Insurance Group (GIG) will soon unify the brands and the systems of its various subsidiaries so that customers can enjoy a region-wide coverage, revealed Mr Isam Abdelkhaliq, CEO and Board Member of Arab Orient Insurance Co, Jordan.
Total premiums grew by 9% y-o-y to US$680.8 million in the first half of 2012, said the Association of Insurance Companies in Lebanon (ACAL) in a report. The growth was fuelled by a 23% upswing in life premiums coupled with a 16% growth in fire premiums.
Doha Bank Assurance Co (DBAC), wholly-owned subsidiary of Doha Bank, has opened its first branch fully dedicated to retail.
The Qatar International Court and Dispute Resolution Centre (QICDRC) and international law firm Pinsent Masons have embarked on a project to develop a specialist dispute resolution scheme for high-value insurance and reinsurance claims. If the scheme is enacted, it will be the first such project in the Middle East.
The Insurance Authority (IA) has published draft laws requiring local and foreign brokers to increase their capital from AED1 million (US$272,000) to at least AED5 million and AED10 million, respectively. However, it did not specify when the laws will be enacted.
The Health Authority - Abu Dhabi (HAAD) said several healthcare services in the emirate will witness a change in its prices following the implementation of the new mandatory tariff price list, effective from 15 October.
Oman Insurance Co (OIC), together with Starr Insurance and Reinsurance, has acquired the entire capital stock of Turkish non-life insurer Dubai Group Sigorta. No financial details of the transactions were disclosed.
Citizens seeking new insurance cards or renewals of their insurance policies are being asked to produce national identity cards on a voluntary basis under new rules enforced by the National Health Insurance Co (Daman), said media reports.
Finance leaders in Dubai remain confident in their company’s and country’s growth prospects, with 60% planning to recruit new permanent finance staff in the second half of 2012, said a survey by recruitment consultancy firm Robert Half.
The two strong earthquakes that struck northwestern Iran in August killed more than 300 people and caused more than US$600 million in economic losses, according to Aon Benfield’s latest catastrophe report.
Bahrain’s takaful sector grew 4.3% to BHD40.2 million (US$107 million) in 2011, double the 2.1% growth in conventional insurance, which reached BHD214.9 million in 2011.
Tokio Marine Group has made Nile Takaful its wholly-owned subsidiary after acquiring a 60% stake from Egypt Kuwait Holding Co, according to a source close to the deal.
Swiss Life has launched what is believed to be Europe’s first family takaful product, primarily aimed at French customers looking for Islamic finance or ethical investment solutions.
Malaysia-based ING Public Takaful Ehsan will expand its operations by opening more marketing branch offices in the country from early next year.
Syarikat Takaful Malaysia’s first half annualised net profit grew 24.3%, lifted by higher wakala fees and surplus transfer from its family takaful business.
Takaful Ikhlas has signed an agreement with bereavement service provider L.A.T. Holdings to underwrite a programme for non-Muslim average income earners.
Malaysia’s leading mobile phone operator Axiata Group said it has priced the world’s largest yuan-denominated sukuk of CNY1 billion (US$157.85 million) at 3.75% due to strong demand.
A state court in Pakistan has restrained the Securities & Exchange Commission of Pakistan (SECP) from implementing its new takaful rules after it adjourned a case by the country’s five takaful operators challenging the new regulations.
Pak-Qatar Family Takaful has declared a surplus of 53.8% of contributions for its bancatakaful customers for the financial year ended 2011, marking the third straight year it has announced a distribution of surplus on its bancatakaful products.
Amana Takaful has recorded a 32% growth for the first half of 2012, with premiums increasing to LKR770.8 million (US$5.8 million).
Turkey is expected to issue a lira-denominated sukuk, its second sukuk following its maiden sukuk in US dollars, by the end of September. Demand for the instrument is likely to be high, the Turkish unit of Bahraini lender Al Baraka said.
Dubai Islamic Insurance and Reinsurance Co (AMAN), together with FWU Group and Emirates Money, the consumer finance arm of Emirates NBD Group, has launched a Shariah-compliant unit-savings plan.
The volume of sukuk issued globally during the first half of the year grew 40% to US$66.4 billion on the back of large sums of money pumped by sovereign authorities and central banks to absorb excess liquidity, according to a report released by KFH Research, an affiliate of Kuwait Finance House (KFH).
Global sukuk volume is predicted to triple from US$300 billion to $900 billion by 2017, due to increasing demand from an enlarged Islamic banking sector as well as fund managers and high-net-worth individuals, said Ernst & Young’s Global Islamic Banking Center of Excellence.