The number of takaful operators worldwide has increased to 200, with four additional companies entering the segment compared to 196 the previous year, latest figures in 7th World Islamic Insurance Directory (WIID) have shown.
The four new takaful companies originated from North Africa, with the recent socio-political changes in the region proving positive for the nascent development of Islamic finance. Overall, the GCC continues to lead the way with 77 operators followed the Far East with 40.
The WIID also shows that global Islamic insurance contributions, including Iran, grew 24.2% to reach US$17.4 billion as at end 2011.
In terms of class of business, family and medical takaful made up the largest segment in all the regions except Iran where the motor business forms the biggest chunk.
Specifically in the MENA region, the share of family & medical business as part of total contributions reduced from 59% to 47%, while motor as well as P&C business increased by 5% respectively from the previous year.
"The takaful industry has been able to hold on amid economic, political and regulatory challenges. The year 2013 is likely to show further progress with untapped potential across all the regions. I believe focusing on underwriting capabilities, service standards, product offering, customer education and strong market relationships will allow Takaful operators to make inroads into this mostly untapped market,” said Mr Khalid Al Bustani, Chairman of Takaful Re.
The 7th WIID, published jointly by Takaful Re and published by Middle East Insurance Review and launched at the World Takaful Conference, provides a snapshot of operators in the dynamic takaful arena. It captures key corporate information of the Islamic insurance companies, windows and retakaful operators in nearly 31 countries.