Gulf – Some markets grow during crises
Wednesday, 01 06 2016, Category: Insurance and Reinsurance, Country: Gulf Cooperation Council
It is often said that when massive deaths occur the only winner is the shroud dealer. Similarly during crises and catastrophes, the only market that flourishes during these misfortunes is the insurance market. Insurance basically buys risks and indemnifies losses.
The “Moody’s” rating agency expects a large and rapid growth in the Gulf Cooperation Council countries during the years extending from 2016 to 2018 despite the decrease in oil prices and the regional tensions inside and outside the region. Indeed these tensions had a role in supporting growth not the opposite.
Accordingly “Moody’s” indicates that the Gulf insurance market increased threefold between the years 2006 and 2014 where insurance premiums reached approximately USD 22.2 billion compared to USD 6.4 billion with an annual growth reaching 16.8%.
Source: Al Yaum newspaper