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8th World Takaful

Conference

بسم هللا الرحمــن الرحيــم

15 April, 2013, Dubai.

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The 7th edition of World Islamic Insurance Directory (WIID);

The 7th edition compile information for more than 190 company

across 31 countries;

In the presentation we are highlighting on the following:

Overview of Takaful;

Future of Takaful;

Introduction

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Data collection Process

A comprehensive questionnaire sent to each company covering the required information;

Annual financial reports to fill any missing information;

Market statistics which is produced by the insurance supervisory association in each market;

Market analysis reports issued by the reputable organizations;

The accuracy is dependent on the company’s financial statements and submitted information.

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Difficulties

Some companies are not very enthusiastic in responding to the

questionnaires;

Markets with no official statistics which are issued by regulatory

authorities or by professional organization;

Market statistics with no split between Islamic & Conventional;

Companies with Islamic operations/windows, where the financial

statements are consolidated;

Unlisted companies with no published financial statements.

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Definitions

KSA: Article 1

Insurance in the Kingdom shall be undertaken through registered insurance companies

operating in a cooperative manner as it is provided within the article establishment of the

National Company for Cooperative Insurance promulgated by Royal Decree M/5 dated

17/5/1405 H, and in accordance with the principles of Islamic Shari’a.

Iran:

The Shari’a law is the corner stone of the whole system.

WIID

(WORLD ISLAMIC INSURANCE DIRECTORY)

TAKAFUL COMPANIES

COOPERATIVE COMPANIES

OPERATING IN KSA AND SUDAN

IRANIAN MARKET

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Islamic /Takaful Contributions by Region

Growth

2010 2011 est. 2010 2011 est. 2010 / 2011

Africa 432.2 471.7 3.1% 2.7% 9%

East Indian Sub- Continent 201.8 214.8 1.4% 1.2% 6%

Far East 1,884.4 2,160.3 13.5% 12.4% 15%

GCC 5,683.5 6,586.6 40.7% 37.7% 16%

Levant 73.8 85.8 0.5% 0.5% 16%

Middle East (Non Arab) 5,685.5 7,930.3 40.7% 45.4% 39%

Grand Total 13,961 .2 17 ,449 .7 100 .0% 100.0% 25%

Region

IN US$ Million Contribution

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Top 10 Contributors

US$ Million

Country 2011 est. Country 2010

1- Iran 7,930.3 1- Iran 5,685.5

2- Saudi Arabia 4,933.7 2- Saudi Arabia 4,370.0

3- Malaysia 1,378.1 3- Malaysia 1,273.0

4- UAE 941.2 4- UAE 818.4

5- Indonesia 560.0 5- Indonesia 415.5

6- Qatar 453.1 6- Sudan 363.4

7- Sudan 388.8 7- Qatar 259.8

8- Brunei 181.7 8- Bangladesh 165.6

9- Bangladesh 174.9 9- Brunei 158.0

10- Kuwait 138.9 10- Kuwait 133.1

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Takaful Market Development

2005 2006 2007 2008 2009 2010 est. 2011 est. 2012 est. 2013 est

Africa 181.1 255.8 276.1 295.3 378.3 432.2 471.7 589.7 737.1

East Indian Sub-Continent 7.8 11.2 76.1 123.3 192.9 201.8 214.8 268.6 335.7

Far East 536.7 695.4 901.4 1,110.1 1,534.7 1,884.4 2,160.3 2,700.4 3,375.5

GCC 1,547.1 2,088.5 2,846.3 3,753.5 4,886.0 5,683.5 6,586.6 7,410.0 8,336.2

Levant 14.7 17.7 21.7 33.3 34.2 73.8 85.8 94.4 103.8

Middle East (Non Arab) 2,401.8 2,896.2 3,644.4 4,128.3 4,143.9 5,685.5 7,930.3 9,516.4 11,419.6

-

2,000.0

4,000.0

6,000.0

8,000.0

10,000.0

12,000.0

US$

Mill

ion

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Takaful Contributions vs.

Conventional premium in MENA

Country

Total Gross Premium Income

2007 2008 2009 2010 2011 e Growth Rate

Bahrain Takaful

371.7 495.2 532.2 559.2 546.1 -2.3%

40.7 70.9 86.6 102.2 119.8 17.2%

Egypt Takaful

1,088.3 1,392.6 1,567.1 1,612.8 1592.7 -1.2%

6.1 6.2 29.3 58.9 72.5 23.1%

Jordan Takaful

427.0 487.0 527.6 589.3 598.3 1.5%

14.2 21.9 24.2 45.9 49.5 7.8%

Kuwait

Takaful 549.6 641.3 568.9 627.4 698.2 11.3%

95.0 100.7 127.7 133.1 138.9 4.4%

Palestine Takaful

50.0 62.7 72.7 N/A N/A N/A

- 2.1 5.4 7.9 11.4 44.3%

Qatar Takaful

861.1 855.6 781.6 1,051 974 -7.3%

52.6 128.1 136.1 259.8 453.1 74.4%

Saudi Arabia (*) 2,290.3 2,911.7 3,896.0 4,370.0 4,933.7 12.9%

Sudan (*) 261.6 278.1 285.9 363.4 388.8 7.0%

U.A.E. Takaful

3,895.8 4,974.6 5,455.5 6,003.7 6,513.8 8.5%

369.2 542.1 639.6 818.4 941.2 15.0%

(*) KSA and Sudan are fully cooperative.

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Takaful Growth vs. Conventional in MENA

-2.3% -1.2% 1.5%

11.3%

N/A -7.3%

12.90%

7.00% 8.50%

17.2%

23.1%

7.8%

4.4%

44.3%

74.4%

15.00%

General

Takaful

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Islamic /Takaful Contributions by region

378.3 432.2 471.7 192.9 201.8 214.8

1,534.7 1,884.4

2,160.3

4,886.0

5,683.5

6,586.6

34.2 73.8 85.8

4,143.9

5,685.5

7,930.3

2009 2010 2011 est

Gross Contribution Income by Region 2009-2011 est. (US$ million)

Africa East Indian-Sub cotenant Far East GCC Levant Middle East (Non Arab)

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Islamic /Takaful Contributions by class

Middle East(Non Arab)

MENA Far East East IndianSub-Continent

Total

53%

25% 27%

10%

37%

18% 21%

20%

6%

19%

3% 7%

3% 3% 5%

27%

47% 51%

80%

39%

Global Takaful/ Islamic Insurance Gross Contribution by Class 2011 (Est.)

Motor Property & Accident Marine & Aviation Family & Medical

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Regional Overview of Takaful

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Number of Islamic Insurance operators in 2011

Africa 36

East Indian Sub-Continent, 12

Far East, 40 GCC, 77

Levant, 9

Middle East (Non Arab), 18

Others, 8

Total: 200 Operators

Thank you

In spite of all the odds gradually Takaful is becoming a

preference.

Conclusion