Although geopolitical tensions have intensified in the region, the Middle East and North Africa markets present good topline growth potential for reinsurers, and continue to attract international interest, according to a new AM Best report.
In its Best’s Market Segment Report, "MENA Reinsurers are Focused on Profitable Growth Opportunities Despite Heightened Geopolitical and Economic Uncertainties", AM Best states that the growth potential for reinsurers is supported by adequate reinsurance pricing and emerging business opportunities, particularly in specialised risks.
Ms Fleur Ngassa, financial analyst at AM Best and one of the report’s authors, said, “Despite uncertain times, some growth opportunities have emerged for reinsurers in the region. Addressing the protection gap remains a key priority in MENA markets, which has led to the development of specialised product offerings, such as cyber insurance, parametric insurance and retakaful products.”