Bahrain’s insurance sector ‘set to grow 10pc’
Manama, August 1, 2013
Bahrain's insurance sector is expected to see growth in the range of seven to 10 per cent this year, said an industry expert, noting that it posted continual annual growth between 2001 and 2010 in the kingdom.
"The insurance industry is thriving in the kingdom," Bahrain Insurance Association (BIA) chairman Younis Al Sayed was quoted as saying by the Gulf Daily news (GDN), our sister publication.
"Growth premiums increased steadily at a compound annual growth rate of around 15 per cent to BD201.5 million ($532 million) in 2010, compared with BD58.6 million in 2001.
"This was one of the reasons for choosing the country as the location for the Gulf region's first Professional Liability Insurance Forum," Al Sayed said.
Being hosted by the General Arab Insurance Federation (GAIF), in co-operation with the BIA, the two-day forum will be held on October 21 and 22 at the Ritz-Carlton Bahrain, Hotel and Spa.
It will be held under the patronage of the Central Bank of Bahrain (CBB).
More than 300 leading insurers, industry players and corporates are expected to gather for the event.
Key speakers include GAIF general secretary Abdul Khaleq Rouf, Union of Arab Banks chairman Adnan Yousif, CBB executive director Abdul Rahman Al Baker, and National Health Regulatory Authority chief executive Dr Bahaa Eldin Fateha.
"Bahrain was selected to host the prestigious event as a result of its position as a leading financial services hub," Al Sayed said.
"The kingdom is home to a significant number of insurance and reinsurance companies, regulatory agencies, brokers, financial institutions and medical practitioners who can benefit greatly from the forum and its focus on key issues impacting the industry and end users.
"Liability insurance, which is a method of protection against legal expenses and other costs associated with medical malpractice and general corporate malfeasance, is becoming increasingly important," he said.
"More organisations across Mena markets are seeking to offset the potential liabilities resulting from the negligent activities of employees, directors and officers," he added.
"Life insurance or long-term insurance has promising future as it accounts for around 24 per cent of the total and is one of the highest shares in the GCC. Therefore, investing more effort in it will have great returns on the industry," he said.
"Moreover, there is a growing need for local reinsurance and retakaful companies, as the industry is likely to be dominated by the international reinsurance market with major players influencing rates and capacity," he added. – TradeArabia News Service