For many years, Syria's insurance market has been severely constrained. A very shrunken domestic market remained active during the civil war, but economic disruption and international sanctions have meant that the sector has operated largely in isolation, with little opportunity for growth. That picture is beginning to change.
Over the past year, a series of regulatory and political developments have signalled a potential turning point for the market. While challenges remain, the direction of travel is becoming clearer. Axco has been monitoring these market changes closely, with four key developments standing out.
International (re)insurance restrictions ease
The first significant change came in April 2025, when the UK suspended part of its ban on insurance and reinsurance activity relating to Syria, a restriction originally inherited from its EU membership. In the months that followed, the EU and the US also repealed most of their sanctions on Syria.
The removal of the broad restrictions on the provision of (re)insurance opened the door to the possible return of international market participants, creating new opportunities for engagement with Syrian risks.
Dissolution of insurance federation boards
In December 2025, the boards of both the Syrian Insurance Federation (SIF) and the Syrian Insurance Agents and Brokers Federation (SIABF) were dissolved, with interim committees appointed ahead of new elections.
The Minister of Finance has indicated that further reforms to the sector are planned, signalling the government's intention to reshape and strengthen the market’s institutional framework.
New insurance law takes shape
In March 2026, the Minister of Finance established a national committee to draft new insurance legislation. Early indications suggest a significant departure from the existing framework with a stronger emphasis on risk-based supervision, financial solvency and policyholder protection.
By May, agreement had reportedly been reached on the framework of the new law, although the implementing regulations were still under development. Current indications suggest that conventional insurance will continue to operate in addition to takaful business.
Implementation is expected in September. If delivered, the new insurance law could strengthen market confidence and help create a more attractive environment for foreign investment.
Aviation reinsurance returns to Lloyd’s
Another milestone came at the end of June, when the Syrian Aviation Holding Company secured its first international reinsurance contract in more than 15 years through the Lloyd’s market.
The placement highlights a renewed ability to access global reinsurance capacity for Syrian risks, something that had been unavailable for many years. As economic reconstruction efforts continue, similar international placements for large risks are likely to emerge over the coming year.
What comes next?
The easing of sanctions, changes in industry leadership, plans for a new regulatory framework and renewed access to international (re)insurance all suggest that Syria's insurance sector is entering a new phase. The pace of progress remains uncertain, but for insurers, reinsurers and investors, Syria is becoming a market of renewed interest.
For more trends, regulatory developments and market analysis on Syria and more than 170 other countries, explore Axco’s Insurance Market Reports.