Jordanian insurance market reviewed
Official sources recently revealed that the total value of insurance installments in Jordan rose to 104.381 million Jordanian dinars ($146 million) in 2000, up from JD 99.825 million in the previous year of 1999, according to Addustour daily. These figures reflect a 6.4 percent increase.
The overall value of compensations paid to insurance subscribers in the Kingdom also grew, from JD 63.9 million to JD 64.6 million during the same period, a one percent rise.
Furthermore, statistics indicate that automobile insurance constitutes 42.6 percent of all insurance policies in Jordan, the largest portion of the market for any one type of insurance. Life and health insurance took second place, with 15.9 percent of all policies. Fire insurance held third position in the rank, with 10.2 percent of overall subscriptions. General insurance protecting against accidents accounted for 7.8 percent of the market, ranking fourth, while marine insurance held fifth place, with 7.6 percent of all insurance policies.
Head of the Jordanian Insurance Companies Association, Ghaleb Abu Koura, recently stated that the capital value of the 26 insurance companies operating in Jordan presently stands at 68.8 million Jordanian dinars ($96.9 million).
However, this amount is soon expected to increase to JD 74.7 million, as a result of three of these firms raising their capital value. The three companies are: The Middle East Insurance Company, which intends to increase its capital from JD 2.64 million to JD 3.52 million; the Arab Insurance Company, which will raise its capital from JD 3 to JD 3.3 million; and the Jordanian Insurance Company, which will double its capital from JD 5 million to JD 10 million. The increase in capital is anticipated to take place by June 2001. –(MENA Report)
© 2001 Mena Report (www.menareport.com)