The Central Bank of Bahrain (CBB) has reported that the country’s general insurance business contributed to 84 per cent of gross premiums written between 30 June 2021 and 2022.
There has been a 2.3 per cent growth rate in gross premiums in the domestic market over the past six months, with BD 146.86 million generated.
Total gross premiums of medical insurance have risen by two per cent to BD 46.78 million between 30 June 2021 and 2022, amounting to 32 per cent of total gross premiums written over this time.
Motor insurance gross premiums increased by five per cent to BD 36.06 million over the 12 month period, representing a quarter of total premiums and making it the second largest insurance class in the country.
The gross contributions of Takaful firms, a form of Islamic insurance, represented approximately 28 per cent of total Bahrain gross premiums in the first half of 2022, registering BD 41.3 million. This is a decrease from the previous year, where the firms saw a total BD 43.67 million.
Abdul Rahman Al Baker, executive director of financial institutions supervision at the CBB, says: “We expect the insurance sector to grow in the coming years, mainly due to the increase in the public awareness on the importance of the insurance products in general, as well as due to the soundness of regulatory and supervisory framework of the insurance sector in Bahrain.”
Elham Taheb, director of the insurance supervision directorate at the CBB, adds: “The CBB’s directives to insurance companies regarding digital transformation in the insurance sector in general, and in particular in motor insurance and medical insurance, have contributed to the growth in these two sectors. Moreover, the CBB aims to a higher level of such digital services in this sector, in order to provide the best financial and insurance services with ease and convenience.”
