- Insurance providers are at the bottom of the list for contacting their customers about the coronavirus pandemic says Consumer Intelligence
- Reinsurers take a measured approach to April renewals says Willis Re
- CII supports the FCA stating how managers should identify who is able to work from home
- COVID-19 and low oil prices could weaken the credit quality of some insurers in the Gulf Cooperation Council (GCC) says S&P Global Ratings
- Juniper Research study indicates number of IoT(Internet of Things) connections will reach 83 billion by 2024, rising from 35 billion connections in 2020
- esure founder Sir Peter Wood to step down as Chairman-to be succeeded by Andy Haste
- Guidewire positive on increased cyber threats expired
- ICISA members call for a coordinated approach to support schemes across the European Union to meet the demands of COVID-19 pandemic expired
- Catalina completes acquisition of Singapore-based Asia Capital Reinsurance Group (ACR) expired
- SCOR/Channel appoints Coulson as senior underwriter on the political and credit risks team expired
- Willis Re appoints Rumball as Head of Speciality–North America expired
- Xenia completes acquisition of the trade credit business of Howden UK Group expired
16th February 2020
S&P Global publishes report on Gulf Cooperation Council(GCC) insurers' trends
Intensifying competition, increasing asset risk, and more onerous and costly regulations are among the key risks that could affect Gulf Cooperation Council(GCC) insurers' earnings and credit conditions in 2020," S&P Global Ratings said in the "Competition, Asset Risk, And Regulation: The Three Factors That Could Hit GCC Insurers In 2020," report published on RatingsDirect.
"Despite these challenges, our ratings are still supported by insurers' robust capital positions. We anticipate that pressure on some rated entities will gradually ease, since a number of companies have strengthened their internal controls and governance arrangements, or de-risked their asset portfolios following years of weakening capital and liquidity buffers. However, we expect that a number of smaller, unprofitable, and/or under capitalized insurers will struggle to meet increasing regulatory demands," said S&P Global Ratings credit analyst Emir Mujkic.
"It is likely that some will have to raise new capital, consolidate through mergers, or even exit the market entirely. This could particularly be the case in Saudi Arabia and Kuwait, where new regulations including higher capital requirements are likely to be adopted in the near future," Mujkic concluded.
S&P Global Trends(513 articles)