Middle East new business sales grow by 16% to GBP2.1bn ($2.8bn) as the region becomes an increasingly attractive destination for wealth and financial services, according to the "2024 Wealth Management Market Study" for Utmost Group.
The study, carried out by NMG Consulting, a global financial services advisory business, shows that premiums in the Middle East account for 5% of the HNW (high net worth) international life insurance new business.
Mr Derek Gemmell, head of Middle East and Africa at Utmost, said, “The Middle East is becoming an increasingly attractive destination for wealth and financial services which is reflected in the growth in international life insurance new business premiums for the region. Insurance-based wealth solutions are a small part of the market for now but will play an increasingly important role in an adviser’s toolkit when serving the HNW space in the Middle East.”
The report defines the Global HNW International Life Insurance market as life insurance policies issued by a carrier based in an international financial centre to end-customers resident outside that financial centre. It also includes HNW life sales to HK and Singapore residents via an HNW Broker (but excludes sales via a bank or agency channel), as well as international affluent sales via an international or expat-focused broker or network.
Products include both unit-linked (notably PPLI and single premium bonds) and non-linked solutions (fonds en euros and permanent insurance) designed to support HNW individuals and families in wealth structuring and preservation, inheritance tax planning, risk management and diversification.
Utmost Group is a leading global provider of insurance-based wealth solutions with over GBP100bn of assets under management. Its principal businesses are Utmost International and Utmost Life and Pensions. Utmost, following the acquisition of Lombard International, has a share of about 15% of the HNW international life market.