Mr. Jihad Faitrouni, CEO of UIS, had the pleasure to be interviewed by CNBC TV he replied about the mergers and acquisitions in the insurance sector in the Gulf countries, and about the most prominent reasons that lead to take this approach by companies: because as a result of the decisions taken in the Gulf countries, they aim to strengthen the insurance sector at all levels, whether technical or financial. He added that we are witnessing the process of consolidation and the acquisition of decisions taken to support and cover this sector at the technical and financial levels. The good thing that happened first in the UAE market and then the Saudi market there are mergers in the markets and all this indicates a wellness in the insurance sector and in my opinion instead of being a loss, there is a merger between two companies to give greater results or a new entity, The decisions came to the result because we know that most of the companies that have technical or financial problems needed financial support with some kind of recapitalization of institutions, and in some companies they had difficulty to secure the required capital, especially in the issue of solvency. Today, the decisions came to preserve the merger of companies with each other. And here is the role of the regulatory body, how to study the files of companies that merge with each other and be positively oriented and not to increase the problems. This makes us reassured that it is a positive path, as the sector will be solid and they will have a solid financial division to be able to face the challenges, especially the new systems that the Gulf countries are witnessing, whether financial or technical. On the other hand there is no doubt that car insurance is greater than health insurance, and they are witnessing a great development, especially in the process of absorbing the acquisitions of some companies. Of course, today the car insurance sector is growing rapidly, and this growth is helped by the laws of the supervisory bodies that support insurance companies in terms of maintaining as much as possible a minimum of pricing so that what is going on is burning prices and we are facing risks that are not well studied and that there is no rise and fall in prices and that we make a balance to remain conservative prices for a long time and this thing is also applied to medical insurance which is acquiring a large amount of insurance in the insurance sector.
