UAE – Insurance market grows by 5% despite competition
Wednesday, 09 14 2016, Category: Insurance and Reinsurance, Country: U.A.E
The Chief Executive Officer of Abu Dhabi National Insurance Company (ADNIC) Mr. Ahmad Idris said that the insurance market in the country will grow by 5% but with differences in performance among different companies given the challenges, which they face especially with the presence of a strong competition in the pricing of insurance products, which are underpriced.
Mr. Idris said in an interview with “Al Khaleej” that the health and motor sectors are the two most negatively affected sectors, indicating that insurance companies had to increase their technical reserves according to international financial reporting standards and the Insurance Authority requirements. This represented an additional challenge for the companies of the sector in the short term. Therefore, they had to review their strategies and adjust their situations.