The United Arab Emirates (UAE) is the largest insurance market in the GCC. However, the non-life segment accounts for the bulk of the premium. Nevertheless, in the recent past, growth of the life insurance segment has been significantly higher compared to the non-life segment.
The insurance sector in the UAE is, by and large, dominated by publicly listed companies with majority government-holdings. Major participants in the life insurance segment in the UAE include companies which have to be registered as public joint stock companies and listed on the Dubai Financial Market. Other participants include government-owned unlisted entities apart from private and foreign firms. There are over 60 insurance companies currently operating in the UAE.
Distribution in the insurance segment in the UAE is largely managed by brokers and agents. Bancassurance, although gaining increasing popularity, is still underdeveloped in the UAE owing to legal uncertainties. Bancassurance has, however, recently witnessed robust growth in Dubai with several banks entering into contracts with top insurance companies to provide a wide range of products.
Top Insurance Companies
- HSBC – Whole of Life-Futura
Futura by Zurich International Life Ltd, is a lifetime insurance plan which offers flexible benefits such as critical illness, permanent and total disability apart from a guaranteed life cover. Customers can pay premiums on a yearly, half-yearly, quarterly or monthly basis.
- MetLife- Life Care policy
Life Care is a life insurance plan that gives guaranteed annual cash back and bonuses. It provides a 10% increase in coverage every five years, 2% cash back every year after 10 years and annual pay-outs for permanent total disability.
- Abu Dhabi Commercial Bank (ADCB) – Whole life Insurance
Whole of Life insurance is an insurance cover that protects an individual up to 95 years. A customer has to pay the premium for a defined term and enjoy lifetime protection. This is an investment linked (Unit Linked or Interest Sensitive) policy. It also offers the cash value benefit.
- National Bank of Abu Dhabi (NBAD) Life Insurance
It is a comprehensive- ADNIC (Abu Dhabi National Insurance Company) backed life insurance plan. NBAD’s Secure Life Plan 1 covers accidental death and partial or total disability due to accidents while Secure Life Plan 2 covers natural or accidental death in addition to partial or total disability due to accidents.
- Emirates Islamic Bank- Takaful Emarat Secure Life Plan
It offers a comprehensive life insurance plan with competitive premium rates and wide range of coverage options. Takaful Emarat Secure Life Plan is provided by Takaful Emarat while Emirates Islamic is a distributor. Requires a minimum monthly premium of AED 500 or USD 150.