Overall sovereign creditworthiness in the MENA region has continued to deteriorate, according to a report from S&P Global Ratings. The report covers the 13 sovereigns in the region: Abu Dhabi, Bahrain, Egypt, Iraq, Jordan, Kuwait, Lebanon, Morocco, Oman, Qatar, Ras Al Khaimah, Saudi Arabia and Sharjah.
Qatar Insurance Company (QIC) and Bupa Arabia for Cooperative Insurance have been named among the 15 fastest-growing companies in the GCC, taking the second and third spot, respectively, for their strong financial performance during the 2011-15 period, according to a report published by research group Marmore MENA Intelligence.
Passenger car sales in the GCC will remain under pressure in 2017, but are likely to recover from 2018 onwards, according to Alpen Capital.
Insurers in GCC markets are coming under pressure to increase retention levels for high-rise buildings to demonstrate their alignment of interests with those of reinsurers, according to new research by A.M. Best.
The life and health insurance market in Algeria is expected to grow at an accelerated pace in the next few years, according to Mr Ammar Meslouh, CEO of the life and health insurance company Caarama, a 100% subsidiary of CAAR (Compagnie Algérienne d’Assurance et de Réassurance).
The phased increase in tariffs for compulsory motor third-party liability insurance that took effect last month is deemed insignificant and losses in automobile business will rise, according to Mr Hassen Khelifati, Chairman & CEO of Alliance Assurances, and Vice President of the Algerian Union of Insurance and Reinsurance Companies (UAR).
Bahrain-headquartered Trust Re has announced an increase in its authorised capital from US$200 million to $500 million and an increase in its issued and paid-up capital from $200 million to $250 million.
The 13th Annual Middle East Insurance Forum (MEIF 2017) has announced that its flagship forum will take place on 20-21 February 2017 in Bahrain. Held under the patronage of the Central Bank of Bahrain (CBB), the event will have the theme of “Current Challenges and their Implications on the Regional Insurance Industry – The Road Ahead”.
Several insurers and healthcare companies in Egypt have formed a joint committee to deal with the soaring costs of medical services and the government is poised to introduce a new universal health insurance scheme.
Iranian lawmakers want the Central Insurance of Iran (CII), the industry’s regulator, to take measures to increase the country’s insurance penetration rate to 7% by the end of the sixth five-year development plan (2016-21).
Iran Insurance Company (IIC), the only fully state-owned insurer in Iran, is planning to split into several entities as part of its reform plans, said Mr Mohsen Pourkiani, IIC’s Chief Executive.
Seventeen out of 26 insurers whose solvency margin ratios (SMRs) were assessed by the insurance regulator, Central Insurance of Iran (CII), have been deemed fully capable of meeting their commitments to policyholders.
A special committee is studying the economic feasibility of agriculture insurance in Oman, including requirements of insurers, mechanisms for coverage, and the provision of coverage for owners of agricultural projects.
A group of six local insurers, banded together to form the National Insurance Consortium (NIC), has won an 80% lion’s share of an insurance contract for capital expenditure works related to the construction of stadiums for the 2022 FIFA World Cup in Qatar.
An agreement has finally been reached between the national health insurer, Caisse Nationale d’Assurance Maladie (CNAM) and the Union of Pharmacists of Tunisia (SPOT), to resume third-party payments for medicine sold at pharmacies. The resumption took effect on 29 December last year.
The General Insurance Commission (IGA) is working on a new Insurance Code to ensure that the progressive legislation will be adopted this summer and implemented in 2018, according to its Director General Ahmed Hardouk.
Tunisian insurer AMI Insurance (Assurances Mutuelles Ittihad) has announced that it had failed to attract any bid for its tender for a capital increase reserved for a strategic partner when the tender closed on 16 December 2016.
Kuwait-headquartered Gulf Insurance Group (gig) is in the process of completing the acquisition of shares of AIG Sigorta from Toronto-headquartered Fairfax Financial Holdings.
Of the 20.8 million vehicles registered in Turkey at the end of last September, almost three quarters (15.2 million or 73%) lacked voluntary insurance against possible theft, traffic accidents or fire.
The deadline for applications for cover under Dubai’s mandatory health insurance scheme has been extended, the Dubai Health Authority (DHA) has announced. However, the new deadline has not yet been specified.
The DIFC, in collaboration with Accenture, has launched the region’s first FinTech accelerator, a further demonstration of DIFC’s commitment to providing an internationally oriented FinTech ecosystem that meets the specific needs of the Middle East, Africa and South Asia (MEASA) markets, in line with Dubai Plan 2021 and the DIFC 2024 Strategy.
Smoke alarms will be mandatory in homes across the UAE when a federal law comes into force next year, according to civil defence authorities. Meanwhile, civil defence units will be carrying out awareness campaigns.
Over 35% of drivers in the UAE will have to pay more for their fully comprehensive car insurance this year as a result of new tariffs imposed by the UAE Insurance Authority (IA), according to an analysis from compareit4me.com, a regional financial comparison site.
Insurers should be more willing to share information on customers to help plug a loophole in the system and prevent fraudulent claims, said media reports citing industry experts.
Oman Insurance Company (OIC) has become the first insurer in the Middle East to establish a corporate alliance with the Association of Certified Fraud Examiners (ACFE).
RSA has teamed up with ICLP, a leading company in loyalty marketing and relationship management, to launch a loyalty programme that rewards customers for purchasing and renewing policies or referring new customers. The programme, RSA Royalty, comprises three membership tiers where customers can claim rewards from a range of carefully selected partners that deliver the royal treatment, including Accor Hotels, GEO Wash, Jet Airways, Jumbo, Orient Travel, UBER and JadoPado.
Global
More crew were kidnapped at sea in 2016 than in any of the previous 10 years, despite global piracy reaching its lowest levels since 1998, the ICC International Maritime Bureau’s (IMB) annual piracy report revealed.
A number of devastating earthquakes and powerful storms made 2016 the costliest 12 months for Nat CAT losses in the last four years, said Munich Re.
Five priorities for the London company market in 2017 have been identified by the International Underwriting Association (IUA). Over the past 12 months, member firms have faced considerable challenges, commented the association’s CEO David J Matcham, but the IUA is well-positioned to respond to their needs for the coming year.
Takaful
Islamic insurance is seeing gradual recognition in several countries in Africa, building on the lead set by Sudan where the world’s first takaful company started operations in 1979.
Bahrain-based Solidarity Group Holding has announced the acquisition of a majority stake in Al Ahlia Insurance in a deal worth BHD10.7 million (US$28.4 million).
GlobeMed Egypt and Egyptian Life Takaful Company, a member of Gulf Insurance Group (gig), have signed a Third Party Administration (TPA) Agreement. The deal will allow Egyptian Life Takaful to benefit from GlobeMed Egypt’s vast healthcare benefits management experience and technologies targeted to streamline and enhance the delivery of health services to insured members.
Attractive growth prospects for the takaful market in Malaysia and regulatory pressures will drive sector consolidation in the short term, said Fitch Ratings in its report “Malaysia Takaful Dashboard 2017”.
The Malaysian Takaful Association (MTA) and the General Insurance Association of Malaysia (PIAM) have assured flood victims who have a flood cover as part of their general insurance policy/takaful certificate that its members are ready to pay out claims against losses caused by the current flood situation, said media reports citing a joint statement from both bodies.
Two fully fledged takaful operators have commenced operations in Nigeria, said media reports. The two entities are Jaiz Takaful Insurance Company, with head office in Abuja, and Noor Takaful Insurance Company Plc based in Lagos State, Nigeria.
Jubilee Life Insurance’s Window Family Takaful, launched in July 2015, has achieved the milestone of PKR1 billion (US$9.5 million) contribution.
The Securities and Exchange Commission of Pakistan (SECP) has proposed a procedure for the authorisation of takaful/window takaful operators, giving a detailed brief of the major conditions likely to be imposed on authorised takaful/window takaful operators. These are set out in the draft Insurance Bill, 2016.
Takaful
Nearly a million expatriates still lack medical insurance, even though health cover for expatriates has been made mandatory since 2006.
The Saudi Arabian Monetary Authority (SAMA) has provided guidelines to motor insurers pertaining to no-claims and loyalty discounts. The regulator said that the guidelines should be fully implemented by 1 April 2017.
Takaful
The IPO of Orient UNB Takaful was oversubscribed by around 13 times, according to Union National Bank (UNB).
Global sukuk issuance fell short of market expectations last year, although it was higher than in 2015, said S&P Global Ratings in a report, titled “Will sukuk issuance volumes beat the forecast this year?”
Malaysia-based Council of the Islamic Financial Services Board (IFSB) has approved the admission of seven organisations into its membership. These include five supervisory authorities as full and associate members, one financial institution and one industry association as observer members.