The Insurance Sector in the Middle East and North Africa : Challenges and Development Agenda

Lester, Rodney

dc.creator	Lester, Rodney
dc.date	2012-03-19T18:01:17Z
dc.date	2012-03-19T18:01:17Z
dc.date	2011-03-01
dc.date.accessioned	2023-02-17T20:55:31Z
dc.date.available	2023-02-17T20:55:31Z
dc.identifier	http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20110324090347
dc.identifier	http://hdl.handle.net/10986/3374
dc.identifier.uri	http://localhost:8080/xmlui/handle/CUHPOERS/244338
dc.description	This paper studies the causes of the low development of the insurance sector in the Middle East and North African (MENA) region, particularly for long term insurance. The paper shows that life and non-life premiums, as well as assets, are very low relative to expected levels given per capita income and demographic characteristics, and examines the causes of such poor performance. There is a wide range of factors constraining the development of the industry, including the absence of mandatory insurance in key areas, the predominant presence of the state in some countries, gaps in regulation and supervision, unsupportive tax regimes, fragmented market structures, a chronic lack of suitably skilled people, as well as the absence of products that conform with cultural/religious preferences, especially in the case of life insurance. The lack of development of the insurance sector is a matter of concern, as research shows that the sector can contribute to both financial and economic development. Key recommendations to accelerate the development of the sector include wider introduction of mandatory insurance lines that have clear positive externalities, continuing the privatization process for government owned insurers, employing non capital techniques to force rationalization of insurance sectors with too many small and inefficient players, removing tax distortions, taking steps to stabilize motor third party liability markets (typically the largest line of business), strengthening reporting and disclosure, regulating banc-assurance, improving consumer protection, further developing Takaful long term insurance ('Family Insurance'), and establishing regional centers of excellence for skills development.
dc.language	English
dc.relation	Policy Research working paper ; no. WPS 5608
dc.rights	CC BY 3.0 IGO
dc.rights	http://creativecommons.org/licenses/by/3.0/igo/
dc.rights	World Bank
dc.subject	ACCIDENT INSURANCE
dc.subject	ACCOUNTING
dc.subject	ACCOUNTING STANDARDS
dc.subject	ADMINISTRATIVE AUTONOMY
dc.subject	AGENTS
dc.subject	ALLOCATION
dc.subject	ALLOWANCES
dc.subject	AMOUNT OF CAPITAL
dc.subject	ARBITRATION
dc.subject	ARBITRATION CLAUSES
dc.subject	ASSETS
dc.subject	ASSURANCE
dc.subject	AUDITS
dc.subject	BANK BRANCHES
dc.subject	BANKRUPTCY
dc.subject	BOND
dc.subject	BOND MARKETS
dc.subject	BROKER
dc.subject	CAPITAL MARKET
dc.subject	CAPITAL REQUIREMENTS
dc.subject	CAPITALIZATION
dc.subject	CASH FLOW
dc.subject	CASH SURRENDER VALUE
dc.subject	CASUALTY INSURANCE
dc.subject	CATASTROPHE INSURANCE
dc.subject	CENTRAL BANK
dc.subject	COINSURANCE
dc.subject	COMMERCIAL INSURANCE
dc.subject	COMMISSIONS
dc.subject	COMPENSATION
dc.subject	COMPETITIVENESS
dc.subject	COMPULSORY INSURANCE
dc.subject	CONSUMER CREDIT
dc.subject	CONSUMER PROTECTION
dc.subject	CONSUMERS
dc.subject	CONTRACTUAL SAVINGS
dc.subject	CONVENTIONAL INSURANCE
dc.subject	CORPORATE GOVERNANCE
dc.subject	COVERAGE
dc.subject	CREDIBILITY
dc.subject	CREDIT GUARANTEES
dc.subject	CREDIT INSURANCE
dc.subject	CREDIT MARKETS
dc.subject	CREDIT RATINGS
dc.subject	DEBT
dc.subject	DEMOGRAPHIC
dc.subject	DEVELOPING COUNTRIES
dc.subject	DISASTERS
dc.subject	DISPUTE RESOLUTION
dc.subject	DISPUTES RESOLUTION
dc.subject	ECONOMIC DEVELOPMENT
dc.subject	ECONOMIC GROWTH
dc.subject	EFFICIENCY GAINS
dc.subject	EMERGING MARKET
dc.subject	EMERGING MARKETS
dc.subject	ENTRY REQUIREMENTS
dc.subject	FINANCIAL INSTITUTIONS
dc.subject	FINANCIAL INTERMEDIARIES
dc.subject	FINANCIAL PRODUCTS
dc.subject	FINANCIAL REPORTING
dc.subject	FINANCIAL SECTOR
dc.subject	FINANCIAL SYSTEM
dc.subject	FOREIGN HOLDINGS
dc.subject	FOREIGN INSURERS
dc.subject	FOREIGN INVESTMENTS
dc.subject	FRAUD
dc.subject	GLOBAL INSURANCE
dc.subject	GOVERNANCE ISSUES
dc.subject	GOVERNMENT GUARANTEES
dc.subject	GOVERNMENT SUPPORT
dc.subject	GUARANTEE FUNDS
dc.subject	HEALTH INSURANCE
dc.subject	HOLDING
dc.subject	HUMAN CAPITAL
dc.subject	HUMAN RESOURCES
dc.subject	IMPORTS
dc.subject	INCOME LEVEL
dc.subject	INCOME STREAM
dc.subject	INCOMES
dc.subject	INDEMNITY
dc.subject	INDUSTRIAL COUNTRIES
dc.subject	INFLATION
dc.subject	INSPECTIONS
dc.subject	INSURANCE
dc.subject	INSURANCE BROKERS
dc.subject	INSURANCE COMPANIES
dc.subject	INSURANCE COMPANY
dc.subject	INSURANCE INDUSTRY
dc.subject	INSURANCE MARKET
dc.subject	INSURANCE MARKETS
dc.subject	INSURANCE PENETRATION
dc.subject	INSURANCE PREMIUMS
dc.subject	INSURANCE PRODUCTS
dc.subject	INSURANCE SECTOR
dc.subject	INSURANCE SUPERVISION
dc.subject	INSURANCE SUPERVISORS
dc.subject	INSURANCE SYSTEM
dc.subject	INSURANCES
dc.subject	INSURER
dc.subject	INSURER SOLVENCY
dc.subject	INSURERS
dc.subject	INTERNAL CONTROLS
dc.subject	INTERNATIONAL BANK
dc.subject	INTERNATIONAL BEST PRACTICE
dc.subject	INTERNATIONAL STANDARDS
dc.subject	INVESTMENT CLIMATE
dc.subject	INVESTMENT CONTRACTS
dc.subject	INVESTMENT FUND
dc.subject	INVESTMENT HORIZONS
dc.subject	INVESTMENT PRODUCTS
dc.subject	INVESTMENT REQUIREMENTS
dc.subject	INVESTMENT VEHICLES
dc.subject	IPO
dc.subject	ISLAMIC BANKING
dc.subject	ISLAMIC BANKS
dc.subject	ISLAMIC FINANCIAL SERVICES
dc.subject	ISLAMIC INSURANCE
dc.subject	LACK OF TRANSPARENCY
dc.subject	LAWS
dc.subject	LEGAL JURISDICTIONS
dc.subject	LEGAL PROTECTION
dc.subject	LENDERS
dc.subject	LEVIES
dc.subject	LEVY
dc.subject	LIBERALIZATION
dc.subject	LIFE INSURANCE
dc.subject	LIFE INSURANCE INDUSTRY
dc.subject	LIFE INSURANCE POLICY
dc.subject	LIFE INSURANCE PREMIUMS
dc.subject	LIFE INSURERS
dc.subject	LIQUIDATION
dc.subject	LOAN
dc.subject	LOCAL CAPACITY
dc.subject	LOCAL MARKETS
dc.subject	LONG TERM SAVINGS
dc.subject	LONG-TERM FINANCE
dc.subject	MARKET DEVELOPMENT
dc.subject	MARKET FRAGMENTATION
dc.subject	MARKET PLAYERS
dc.subject	MARKET SHARE
dc.subject	MARKET SHARES
dc.subject	MARKET STRUCTURE
dc.subject	MARKET STRUCTURES
dc.subject	MINIMUM CAPITAL REQUIREMENTS
dc.subject	MONETARY AUTHORITY
dc.subject	MONOPOLIES
dc.subject	MONOPOLY
dc.subject	MORAL HAZARD
dc.subject	MORTGAGE
dc.subject	MORTGAGE INSURANCE
dc.subject	MORTGAGE LENDING
dc.subject	MORTGAGE LOANS
dc.subject	MORTGAGE MARKET
dc.subject	MORTGAGE MARKETS
dc.subject	MOTOR INSURANCE
dc.subject	MOTOR THIRD PARTY LIABILITY INSURANCE
dc.subject	NATURAL DISASTERS
dc.subject	NEW MARKETS
dc.subject	NON LIFE INSURANCE
dc.subject	NON-LIFE INSURANCE
dc.subject	OUTPUT
dc.subject	OVERHEAD COSTS
dc.subject	PENETRATION RATES
dc.subject	PENSION
dc.subject	PENSIONS
dc.subject	PER CAPITA INCOME
dc.subject	PERSONAL LOANS
dc.subject	POLICY MAKERS
dc.subject	POLICYHOLDERS
dc.subject	PORTFOLIO
dc.subject	PORTFOLIOS
dc.subject	PREMIUM REVENUES
dc.subject	PRICE COMPETITION
dc.subject	PRIVATE SECTOR DEVELOPMENT
dc.subject	PRIVATIZATION
dc.subject	PROFESSIONAL LIABILITY
dc.subject	PROGRAMS
dc.subject	PROPERTY INSURANCE
dc.subject	PROTECTION OF POLICYHOLDERS
dc.subject	PRUDENTIAL STANDARDS
dc.subject	RATES
dc.subject	RECIPROCITY
dc.subject	REFORM PROGRAM
dc.subject	REGULATORS
dc.subject	REGULATORY CAPACITY
dc.subject	REGULATORY PRACTICES
dc.subject	REINSURANCE
dc.subject	REINSURERS
dc.subject	RENEWALS
dc.subject	REPUTATION
dc.subject	RESERVE
dc.subject	RESERVE REQUIREMENTS
dc.subject	RESERVES
dc.subject	RETURNS
dc.subject	RISK AVERSION
dc.subject	RISK CAPITAL
dc.subject	RISK MANAGEMENT
dc.subject	RISK POOLING
dc.subject	RISK PREMIUMS
dc.subject	SAVINGS
dc.subject	SECURITIES
dc.subject	SETTLEMENT
dc.subject	SHAREHOLDERS
dc.subject	SOCIAL INSURANCE SYSTEM
dc.subject	SOCIAL PROTECTION
dc.subject	SOLVENCY
dc.subject	SOLVENCY REQUIREMENTS
dc.subject	STAMP DUTY
dc.subject	SUPERVISORY AGENCY
dc.subject	SUPERVISORY AUTHORITY
dc.subject	SUPERVISORY FRAMEWORK
dc.subject	SUPERVISORY REGIME
dc.subject	TAX
dc.subject	TAX POLICY
dc.subject	TAX REGIME
dc.subject	TAX REGIMES
dc.subject	TAX RULES
dc.subject	TERMS OF CAPITAL
dc.subject	TORT
dc.subject	TOTAL COSTS
dc.subject	TRADE CREDIT
dc.subject	TRADING
dc.subject	TURNOVER
dc.subject	UNDERWRITERS
dc.subject	UNDERWRITING
dc.subject	VALUE OF COLLATERAL
dc.subject	WEAK CORPORATE GOVERNANCE
dc.subject	WEALTH TAX
dc.title	The Insurance Sector in the Middle East and North Africa : Challenges and Development Agenda
dc.type	Publications & Research :: Policy Research Working Paper
dc.coverage	Middle East and North Africa
dc.coverage	Middle East and North Africa