After having hesitated, Saham Insurance provides the study the opportunity to launch in the Takaful insurance, based on its partnership signed with Crédit du Maroc.
The other majors of the sector, namely Wafa Assurance, RMA, Atlanta, but also the BCP with MCMA, are already in order of battle.
Rumors insistent the said non-starting. Finally, Saham Insurance will launch themselves into the islamic insurance, better known under the name of Takaful, as we assured the management of the company.
While the company seemed hesitant, or not interested there are still a couple of months ago (see box), things have changed since that Saham Assurance has signed an exclusive partnership of 10 years with the Crédit du Maroc in the bank insurance. The situation has therefore changed. It is true that an insurer is not backed by a bank, the case of Saham, Takaful insurance, as it will be launched in Morocco, was not really of interest. But in allying with the Crédit du Maroc, which starts in a bank project participatory, the company headed by Mehdi Tazi is seen to offer new opportunities in this area, to the extent that any credit contracted with a bank participatory should, in principle, be backed by a insurance that complies with Sharia law.
What to feed new ambitions for Saham in the insurance participatory. Ambitions that confirms to us the management of the company : “We have signed the exclusive contract with the Crédit du Maroc, the question of whether we will or not does not arise. The draft Takaful is therefore the study”.
Saham Insurance to reconsider its position. But isn’t it a little late, so that the law has already been published in the official gazette in August last and that the circulars are announced for the end of the year, as we had entrusted the ACAPS on these same columns ?
The BCP and MCMA have also a project in Takaful
The question arises also with regard to the status of the draft Takaful other companies. Wafa Assurance has, for example, already announced last June the creation of a Directorate general dedicated to the project Takaful, which will oversee the future bank’s participatory Attijariwafa bank. The goal is to become the leader in the region.
RMA Watanya should also accompany the future bank, participatory, BMCE Bank, in association with the bahraini Al Baraka Bank. The management of RMA has repeatedly expressed its intention to invest in this new niche, based on significant capital to invest.
Same sound of bell on the side of the Group Holmarcom, the holding company that owns Atlanta Insurance. The company has ambitions in the Takaful by allying with CIH Bank, which will have its bank participatory in partnership with qatar’s QIIB. “Technically, the company is ready. We are waiting like everyone else to the convenience of the authorities”, would you know in Atlanta, at the time of the presentation of the annual results.
As to the Popular Central Bank, which launches in the participatory finance through its alliance with the american Guidance Financial Group, she is developing a project Takaful, in partnership with the insurer MCMA, as told us a source in the bank. To recall, the two companies have already launched a joint subsidiary company in the classical insurance at the beginning of 2015, Attaamine Chaabi. They intend to repeat this scenario in the insurance participatory.
Then, Saham, late compared to the competition ? Not really, according to the management of the company. “We are not in the emergency. Our partnership with CDM is still running for 9 and a half years. In addition, ” says our interlocutor, the development process of the circular going to take a lot more time than you believe. It is not necessary to expect a launch before the summer of 2017″.
When Saham showed a little excited at the prospects for Takaful
Saham Insurance has issued several signals that suggested that Takaful insurance was not within its immediate priorities.
Last march, during the presentation of the annual results of the company, Mehdi Tazi, CEO of Saham Insurance, said about Takaful insurance : “For the time being, we have other priorities”. The management of the company based its position on a market study it commissioned there is more than a year ago on the evaluation of this new niche. The results of this study have shown that the volume of activity of the Takaful insurance should not represent more than 10% of the company’s operations. A low penetration and a new industry is not sufficiently profitable, according to the management of Saham at the time.
Previously, in an interview with the Oxford Business Group, the CEO of Saham, was yet obliged to put into perspective the impact of Takaful insurance. “In Morocco, the market of Takaful insurance could reach between $ 650 million of DH and 1.3 billion DH at the end of five years of activity, compared to the 10 billion DH that generates Life. We believe that the penetration of the products Takaful could reach between 5% and 10% at the end of 10 years,” stated then CEO of Saham Insurance. He also cited Turkey and Indonesia, including the penetration of products, Takaful has respectively much greater than 7.5% and 4.3% of the global market. In Egypt, this rate stood at 4% at the end of 6 years. In short, the evidence, Saham Insurance seemed a little excited at the prospects for islamic insurance.