RIYADH: The Gulf Cooperation Council’s insurance sector is expected to remain stable over the next 12 to 18 months, supported by strong economic growth and rising non-oil investments, according to Moody’s Ratings.
In its latest GCC Insurance Outlook, Moody’s said economic diversification and compulsory insurance schemes are expected to underpin the sector’s growth.
The region’s non-life segment, which represents more than 80 percent of premium revenues, will benefit from government-backed infrastructure and diversification projects, particularly in Saudi Arabia and the UAE, which together generate 80 percent of the GCC’s total insurance premiums.
S&P Global Ratings has similarly projected sustained expansion for the Gulf’s insurance industry, particularly within the Islamic segment, which it expects to grow by around 10 percent annually in 2025 and 2026.
In its latest report, Moody’s stated: “The industry will also benefit from the spread of compulsory insurance and rising demand for health and life cover.”
