Insurers in most GCC countries will face moderate to high credit risk over the next 12 to 18 months, reflecting mounting geopolitical tension and intense competition, said a Moody’s Investors Service report.
Insurers listed on the Bahrain Bourse posted an aggregate profit of BHD18m ($47.9m) in 2019, 81% higher than the BHD9.9m seen for 2018.
The House of Deputies or Lower House has endorsed a Bill to update the insurance law, the Petra News Agency reported.
The profits of the Jordanian insurance sector after tax and fees amounted to JOD21.8m ($30.7m) in 2019, an increase of 38.9% over profits of JOD15.7m in 2018, according to the second preliminary statistical bulletin issued by the Department of Studies and Training of the Jordan Insurance Federation (JIF).
Total non-life premiums generated by 44 insurers in Lebanon reached $1.13bn in 2019, down by 3.4% from $1.17bn in 2018, constituting the first annual decline on record.
The Ministry of Economy & Trade has barred insurers in Lebanon from distributing dividends to shareholders for financial year 2019, or any dividends accumulated in previous years, said a report by the Economic Research & Analysis Department of Byblos Bank.
The Saudi Arabian Monetary Authority (SAMA) has issued the Actuarial Work Regulation, for more effective oversight of the growing insurance market in the kingdom.
The Tunisian government has issued, through Al Karama Holding, a call for expressions of interest for its direct stake of 50% in Upcar, an insurance and reinsurance broking firm.
The UAE Insurance Authority (IA) has issued a circular concerning the precautionary measures and preventative procedures for maintaining public safety and health and controlling the spread of COVID-19.
A member of the Federal National Council (FNC) has urged the government to speed up the introduction of comprehensive health insurance for all Emiratis.
The UAE insurance market maintained its impressive momentum in 2019 to post a third consecutive year of profit growth, AM Best reported.
GWP for the insurance entities at the DIFC reached nearly $2bn in 2019, representing a growth of 17.4% over 2018, a statement from the centre said.
Global
As many companies reconsider their supply chain strategies amid COVID-19, businesses should look at credit risk mitigation as a strategic tool to minimise disruption to trade.
The variability of the mortality effect by age makes the impact of COVID-19 highly variable by type of insurer, according to actuaries from Willis Towers Watson.
Insurance-linked securities (ILS) are currently estimated to provide reinsurance capital in the range of $88bn (according to AM Best and Guy Carpenter) to $93bn (according to Aon). However, recent Nat CAT losses have uncovered new issues and expectations for the ILS market.
Analysis of more than 50,000 aviation insurance claims worth EUR14.8bn ($16.3bn) over the past five years shows collision/crash incidents account for over half of the value of all claims (57%) – equivalent to EUR8.4bn – and over a quarter by number (27%), according to research from AGCS and Embry-Riddle Aeronautical University. Loss of control in flight is the most frequent cause of fatal accidents.
Takaful
Takaful Brunei Am (TBA) has launched a new shariah-compliant cyber security protection scheme that helps companies manage the risk of liabilities arising from a data breach, including hacker attacks, ransomware and third-party data theft.
Total general and family takaful contributions rose by 2% and 10% to IDR2.8tn ($202m) and IDR13.9tn in 2019, respectively (2018: 4% and 14%), compared with 16% and 1%, respectively, for their conventional counterparts, according to Fitch Ratings.
The Indonesian Shariah Insurance Association (AASI) and insurers are discussing moves to improve the insurance system for umrah pilgrims.
MNRB Holdings’ wholly-owned unit, Takaful Ikhlas General (Takaful Ikhlas), is collaborating with Sultan Zainal Abidin University (UniSZA) on research into an affordable microtakaful scheme for farmers and smallholders in the country.
The Saudi Capital Markets Authority (CMA) has approved Allianz Saudi Fransi Cooperative Insurance Company’s request to increase its capital through a SAR400m rights issue, according to Mubasher.