UAE – Insurers asked to comply with financial laws
Thursday, 03 08 2018, Category: Insurance and Reinsurance, Country: U.A.E
Executive directors of local insurance companies agree that the capitals of insurers are adequate in order to play their expected economic role. However, financial experts said that it is necessary to increase the capital base, which will help strengthen insurers in the future in order to face risks and crises.
Financial officials told the “Economic – Al Bayan” that local insurers should take advantage of their current levels of capital. However, they should address an increase of capital that will have a positive impact on the whole insurance sector in order to cope with the expected challenges and risks.
Moreover, some financial experts said it might be urgent to raise capital in the near future indicating that at least 15% of all operating insurance companies do not have sufficient capitals under the new financial regulations on solvency.
Source: Al Bayan