DIFC Records Significant Growth in Insurance Premiums at Dubai World Insurance Congress
DUBAI: Alya AlZarouni, the Chief Operating Officer of Dubai International Financial Centre (DIFC) Authority, announced a remarkable 35% increase in gross written premiums, rising from USD 2.6 billion to USD 3.5 billion in 2024. This announcement comes during the Dubai World Insurance Congress, which is currently the largest gathering of insurance and reinsurance professionals in the region, hosting 1,700 delegates from 82 countries.
The event has seen an impressive surge in participation, growing from 1,300 attendees last year, prompting registrations to close a month ahead of the congress due to high demand. Spanning three days, the congress will discuss emerging trends in the insurance sector, including climate change, technological advancements, and new risk modeling methods.
During the opening session, AlZarouni highlighted the vitality of the insurance sector at DIFC, noting the significant rise in gross written premiums. The congress also featured the launch of a report by DIFC and its research partner, Asia House, titled “Embedding Resilience: Opportunities for the Global Insurance Industry.” This report outlines vital opportunities for insurers and reinsurers in bridging the gap between insured and uninsured assets while encouraging crucial investment.
Arif Amiri, CEO of DIFC Authority, commented on the positive impact of the insurance sector on Dubai’s economy. He emphasized DIFC’s strong legal framework and stable environment, which have made Dubai an attractive base for more than 125 insurance and reinsurance companies. He urged industry players to take advantage of the opportunities highlighted in the report.
The global insurance industry is valued at USD 8 trillion and is expanding significantly, driven by growing demand for resilience against extreme weather events and cyber threats. This trend is mirrored in the Middle East, where the insurance sector is vital for safeguarding investments in major construction and energy projects.
The region’s insurance market is thriving, bolstered by substantial investment in tourism, retail, and infrastructure, aiming to diversify economies away from reliance on fossil fuels. Notably, Dubai has been recognized as a top destination for greenfield foreign direct investment in tourism during the first half of 2024.
Consumer awareness and adoption of insurance products are also on the rise, supported by a favorable regulatory environment. DIFC is increasingly attracting captive insurers and InsurTech companies while enhancing its role as a hub for managing general agents (MGAs). The rise in MGAs is expected to provide more choices and expand the use of insurance products.
Insurers are looking into artificial intelligence (AI) to improve claims processing and product distribution. Collaboration with InsurTechs is on the rise, tackling regulatory and investment challenges, while emerging technologies like Web3 and cryptocurrency present new growth avenues for the industry.
DIFC is committed to strengthening the insurance ecosystem through ongoing engagement, transparent communication, and talent development. These initiatives are geared toward positioning Dubai and DIFC as a premier global hub for insurance and reinsurance.
