DOHA: Insurance companies say they are eagerly awaiting a new law the regulatory authority has announced to enforce sooner rather than later as many local insurance providers are keen to expand their businesses and go regional.
Industry insiders say this is the right time to have a new legislation in place since the country has been progressing at a rapid pace and banking and financial services sector as well as the underwriting business is witnessing a sea-change.
“The proposed law would go a long way in providing stability to the insurance industry,” said an official not wanting his name in print. He said the existing law has been in force for more than 45 years during which time insurance as a business has seen tremendous changes.
According to the official, life insurance and investment-linked insurance businesses have tremendous scope for growth in Qatar since, presently, the penetration levels remain low. “We expect the law to focus more on this segment of the business as well as on motor cover,” he added. Very few companies are currently focusing on life insurance and investment-linked schemes.
The population of the country has been increasing providing good scope for insurance firms to launch schemes that reflect a win-win situation for both — them and their clientele. The new law is also expected to put a lot of emphasis on risk management by insurance and re-insurance providers, especially when it comes to corporate insurance or risky insurances, he said.
The Peninsula
