The Market Today

Market Trends

It was reported in September 2025 that Solidarity Bahrain has become the first local insurance company to adopt the national identity authentication system. It has now integrated eKey 2.0 into its digital platforms.

It was reported by the Chairman of the Bahrain Insurance Association (BIA) in August 2025 that local insurers are considering a project to create a unified digital system for the management of motor claims, which is aimed at speeding up administration and improving the efficiency of customer service.

Market Trends

In August 2025, the Administrative Resolution APS/DJ/DS/UNE No 995/2025 of 21 August 2025 was issued to enact the Information Security and Technology Regulations for Insurance Entities. The regulations impose a series of measures on insurance companies with the aim of strengthening the industry's resilience to cyber threats. Although the law doesn't stipulate any cyber insurance requirement, the enactment of the regulation may help improve cyber risk awareness among the broader financial services sector, thereby supporting the long-term growth of the cyber insurance market.

Market Participants

Gallagher has launched a technology-driven facultative reinsurance placement platform in several Latin American markets, including Bolivia. The platform, which aims to make reinsurance placements speedier and more transparent, currently supports the business of property, terrorism, energy, construction, and utilities classes.

Legislation and Regulations

Law No 008 of 15 July 2025 has established the legal framework for the introduction of mandatory cessions on each and every risk as well as on facultative and treaty reinsurance business. The rate itself is to be set within a separate decree which does not appear to have been adopted yet. The cessions would eventually be made to the planned new national reinsurer but, until such a time as this occurs, the government intends for the local regulator (the Direction des Assurances) to collect and administer the compulsory cession system.

Market Participants

In July 2025, Prudential exited its joint-venture (JV) operations in Cameroon (as well as Togo and the Ivory Coast) with the JV partner Beneficial Group taking full control of the local companies, which are to be rebranded as BeLife. Prudential only acquired a majority stake in Beneficial Group from Ivorian Belife Insurance in 2019; however, its strategic priority has now shifted to its operations in the Anglophone region.

A new non-life insurer, LD Assurances, obtained a licence towards the end of 2024 and began operating in 2025. It is reported to be owned by a consortium of local businesses.

In March 2025, Atlantique Assurances in Cameroon changed its name to AFG Assurances, reflecting a rebranding of the wider Atlantic Financial Group (AFG).

Other Developments

On 27 October 2025 the constitutional council announced that President Biya had won an eighth term with 53.7% of the vote following a few turbulent weeks since the election, during which the main opposition leader, Tchiroma Bakary, declared victory. The situation remains volatile with Mr Bakary seemingly determined to stand by claims of a rigged election and reports of protests and violence following the announcement.

Legislation and Regulations

In July 2025, it was reported that the SDS indicated a new insurance law is expected to be approved before the end of the year.

The Superintendency of Insurance issued new resolutions in May and June 2025 to update minimum liability coverage for automobiles and motorcycles. However, these were temporarily suspended to allow a six-month public consultation, which ended on 29 September 2025. A revised regulation was expected by 31 October 2025, with implementation set for 9 February 2026.

Market Participants

In April 2025, Resolution 02-25 was issued by the Superintendencia de Seguros (SIS), a decentralised state institution, permanently revoking the authorisation for nine insurance companies to operate in the country, some of which have been in operation for over 30 years.

Market Participants

In May 2025, it was announced that the necessary regulatory approvals had been received for leading market insurer Equinoccial to acquire a majority shareholding in Ecuatoriano Suiza. The merger into a single operational entity was planned to be completed by the end of 2025, with the two companies continuing to operate separately under their current names until then.

Legislation and Regulations

Amendments to the Federal Income Tax Proclamation No 979/2016 in July 2025 increased the withholding tax on (re)insurance premiums paid to non-resident (re)insurers from 5% to 15%. In terms of corporation tax, the amendments also introduced a minimum alternate tax (MAT) of 2.5% on gross premium income while the capital gains tax rate has been standardised at 15%.

Market Participants

In August 2025, three new insurers were reported to be working towards launching. This included Wass Insurance, which is backed by a pharmaceutical company, and is intended to specialise in health insurance and Standard Insurance, backed by a savings cooperative. Additionally, the first standalone takaful provider, Amana Insurance, has the backing of two local Islamic banks. However, all three are reported to be short of the increased capital requirements that were announced in 2022, and this remains a significant impediment to obtaining final approval to start operations.

Following the sale of the Talanx Group's Ecuadorian subsidiary, HDI Seguros SA, to Grupo Financiero Atlantida, a financial conglomerate based in Honduras, was announced in February 2025, the company now trades as Seguros Atlantida SA, with its head office in Quito.

Other Developments

In July 2025, the Lao government signed a sovereign risk disaster policy with Seadrif Insurance Company (which is licensed in Singapore as a general insurance company offering financial solutions to member countries to provide protection against natural catastrophe events). This two-year policy offers USD 16mn in coverage for multiple catastrophe perils, including floods, cyclones, earthquakes and landslides. The policy is innovative because activation is triggered based simply on the number of persons affected, based upon data provided by the National Data Management Office (NDMO), using an independent and legally recognised framework. Once pre-agreed thresholds are reached, payments are carried out within 10 days. The policy was designed with technical assistance from Gallacher Re, acting as a reinsurance broker and calculation agent. Reinsurance is placed globally, with half of the participation emanating from Asia. Funding of the policy is supported by the World Bank, the Global Shield Financing Facility and the Risk Finance Umbrella Multi-Donor Trust Fund.

Market Participant

MedGulf and Buruj Cooperative Insurance finally completed their merger in late October 2025 to form the fourth-largest insurance company in the market. Shares in Buruj have been suspended as the company is absorbed into the MedGulf organisation. Other merger discussions are ongoing as the market consolidation continues.

Legislation and Regulations

In September 2025, the Financial Supervisory Commission announced that a new Insurance Capital Standard will be introduced with effect from 1 January 2026 to replace the current risk-based capital regime. This will impose higher capital requirements on insurers to enhance their solvency capacity, and they must adopt a mark-to-market valuation for assets and liabilities. There will be four new tiers of capital adequacy ratio. The new regime will also affect investment strategies, asset allocation and product design.

Amendments to the Regulations Governing Capital Adequacy of Insurance Companies will also be introduced.

Market Trends

In October 2025, a single digital platform for CMTPL policies was launched. The platform allows an individual to purchase cover freely from any insurer online, whereas to date two insurers have dominated distribution via kiosks at the annual vehicle testing stations. It is hoped that this will increase competitive pressures in the CMTPL market, where premiums are tariff-rated and insurers would compete on service, and thus see more claims paid and an improvement in the wider perception of insurance.

In September 2025 it was announced that the Asian Infrastructure Investment Bank (AIIB) was to increase its financing for the local Rogun hydroelectric dam mega-project from USD 270mn to USD 500mn. This is intended to support the next phase of construction which, in turn, is expected to drive a notable (at whole market level) increase in premiums.

Legislation and Regulations

The Finance Act 2025 came into effect on 1 July 2025, introducing a range of tax measures. These include:

• Increasing the withholding tax rate from 5% to 10% on (re)insurance premium payments made to non-resident companies
• Introducing an exemption from VAT on reinsurance transactions
• Reducing the Dar es Salaam municipal city service levy to 0.25% of gross written premiums

On 4 July 2025, the Ministry of Finance announced that from January 2026 travellers to Tanzania will be required to purchase travel insurance upon entry. This inbound travel insurance is designed to cover emergencies like medical evacuations and other unforeseen incidents for up to 92 days. Citizens from East African Community (EAC) and Southern African Development Community (SADC) countries are exempt from this requirement.

In May 2025, the Tanzania Insurance Regulatory Authority (TIRA) issued a public notice advising insurers that the Tanzanian Energy Coinsurance Consortium (TECC) was to underwrite all energy related insurances in the future. This includes power generation and transmission, including renewables, and oil and gas and projects. No information has been made available regarding the acceptance limits that the TECC is subject to. Underwriting is to take place under the auspices of Tan-Re.

Market Trends

In October 2025, it was reported that non-life premiums increased by 9% overall. Engineering and surety lines saw the most substantial gains, while miscellaneous coverage declined. Despite premium growth, profitability reportedly fell sharply as claims, acquisition costs, and operating expenses rose faster than revenues, resulting in a technical loss of UYU 114mn (USD 2.74mn) compared to a profit last year. The market remains highly concentrated, with Banco de Seguros del Estado reportedly holding a nearly 72% share.

Market Participants

In August 2025, Talanx announced it had sold its Argentinian and Uruguayan subsidiaries (HDI Seguros SA) to BARBUSS, a global holding company specialising in insurance, claims management, and financing solutions. Talanx retains 10% of HDI Seguros Uruguay, pending regulatory approval, which is expected to be completed in 2025.