The 12th annual World Takaful Conference was held in Dubai, UAE on April 11 and 12, marked by the release of the Global Takaful Report 2017 which discusses the state of the global Islamic insurance industry.
The report reveals that in terms of gross written contributions, Gulf Cooperation Council (GCC) markets grew by a compounded annual growth rate of 18% in the period between 2012 and 2015. Southeast Asian markets registered -4% due to currency depreciation, while African markets gained 19%.
GCC markets dominate the general takaful segment, while Southeast Asia leads the life (family) takaful business. Saudi Arabia and the UAE had the largest growth in general takaful in 2015 with 20% and 19% growth in total contributions, respectively.
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Global takaful gross written contributions were estimated at US$14.9 billion as of end-2015, with a growth rate of around 13% per annum. The market is also split with family takaful at 17% and general takaful at 83%.
“The growth in the takaful industry is double-digit and is here to stay,” said Safder Jaffer, managing director & consulting actuary of Milliman, the actuarial firm that prepared the Global Takaful Report.
“However, to continue to meet profitability, the industry would need to meet customer needs and embrace modern technology and global best risk management practices,” Jaffer added.
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