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Telephone +44 (0)1444 450 919 www.worldwiderisksolutions.com
Welcome to our Monthly Newsletter – September 2008

An Established and Successful Force in International Insurance

Worldwide Risk Solutions is a U.K. based commercial organisation which has the sole objective of facilitating global business strategies and business development in the international insurance industry. For more information about us, please go to www.worldwiderisksolutions.com.

What Is Going On Out There?

Every month there is an acquisition, a market entry, a new joint venture, an adjustment to the alliance between the provisions of the state for social security and healthcare and products developed by the insurance industry. We keep you aware of these through our Talks Around the Bazaar.

Additionally we have for our readers the SPOTLIGHT series, helping you to understand the way different markets around the world operate so that those of you who do business there can feel more “at home abroad.” Different does not need to mean difficult but knowledge of the needs and characteristics of specific geographic markets is a vital advantage to those who are active in the global economy. This helps avoid misunderstandings and unfulfilled expectations. In response to requests from our readers, these articles will now be in a PDF format to enable you either to download them to print off or to save them and read them later.

We have received very positive feedback on these articles and if you have any comments or questions, please let us know. Also, if you would like to discuss your international strategies with us, please contact us. Details are below.

Not many people would have thought to call the Middle East a sub-continent but it is - squashed between Africa, Europe and Asia. Because of uncertainty as to whether countries like Iran are part of the region or not, one cannot say categorically how many countries there are here but there are about thirteen, with a population of around 185 million.  Because of its strategic position and the presence of huge oil and gas reserves along with its being the cradle of three major religions, the Middle East is a sensitive region: politically, economically and culturally. For more information, helpful websites are http://en.wikipedia.org/wiki/middle_east and www.metimes.com

Four or five thousand years ago people lived here and, bearing in mind hiccups along the way, Israel is one of the few countries still around to retain its name and identity for such a long time. The country has a solid economy and is a seat of learning for the whole world. Everyone is aware of the many tensions experienced by its inhabitants and amidst all this the insurance industry, with well-qualified professionals is developing quietly.

Israel

There are four major insurance companies in Israel (“Clal”, “Migdal”, “Harel” and “Phoenix”). The Israeli insurance market is an agency market and very few western style brokers operate here. That said, many of the world’s large insurance brokers either have offices or correspondents here while the global carriers are not the well-known names they are in many other countries. Non-admitted insurance is only prohibited for compulsory insurances (like Motor and Worker’s Compensation), and so local risks are sometimes insured directly overseas.

To read the complete report on Israel, Please Click Here (PDF Report).

In preparing this Spotlight article we have received invaluable assistance from Toren Insurance Agencies Ltd, a leading Israeli insurance agency (contact Mrs Tal Nahari-Amrami tali@toren.co.il website www.toren.co.il) for which we are grateful.

If you would like Worldwide Risk Solutions to conduct an economic, business and insurance survey of any international markets please contact us – Details below.

Worldwide Risk Solutions has access to a wide client base of internationally oriented organisations. Why not utilise this knowledge and experience? We can conduct a swift appraisal of your global activities or answer any questions you may have about international developments. Call +44 (0)1444 450 919 or send us an e-mail and we will respond immediately. And should you be passing through London, please let us know.

In our next e-newsletter we will again feature a Spotlight article on Brazil.  It is now a year and a half since the laws were changed and the reinsurance market opened up to foreign players. We will take a look at progress and what people now have to say.

For more information about any of the items discussed in the current or previous issues of WoRdS, please see our Contact Details

George Worsley, Director
Worldwide Risk Solutions
Telephone +44 (0)1444 450 919
Mobile: +44 (0)7968 191 511
E-mail info@worldwiderisksolutions.com

Talk Around the Bazaar

  • The Hurricane Season is upon us and already Dolly and Fay have limbered up. No-one wants to see another big one like Katrina but the insurance and reinsurance markets would have been as ready as they could be if the sub-prime crisis had not arrived first. For more information, see the National Hurricane Center, www.nhc.noaa.gov
  • In the U.K. a new broker network has been created. OurNetwork will enable members to compete with the direct writers and larger intermediaries – and maybe help avoid some smaller firms from being gobbled up by the consolidators.  The network can already boast the support of some of the most distinguished carriers in the industry. Their website is www.ournetwork.co.uk
  • There have been quite a few announcements about the growth and spread of Takaful. The opening of a new office in, say, Bahrain is not such big news as it would have been a couple of years ago. Maybe the launch of Motor Takaful in the U.K. is and it will be difficult to cite all of the developments relating to this form of business. A site worth visiting is the International Cooperative and Mutual Insurance Federation, ICMIF, www.icmif.org 
  • Besides a handful of insurance companies, Saudi Arabia has now issued a licence to the first reinsurance company to be established in the country. The company will offer traditional and takaful products. For more information about financial institutions, go to www.abfdir.com/directory/gccsaudi.htm
  • In India, reinsurers are soon to be allowed to set up branch offices without being required to set up joint ventures. Could this precede something similar for direct insurance companies? To learn more about insurance in India the Insurance Regulatory and Development Authority website will help: www.irdiaindia.org
  • Jordan is to introduce new regulations to curb the rising number of traffic accidents
  • The answer from some Australian motor insurers is to raise the defined age for young drivers from 25 to 30 – and put up their rates. This should go down well with the industry’s plans to heighten consumer awareness throughout the country. The Australian Automobile Association has a lot of useful information on www.aaa.asn.au
  • Still in the land of Oz, some insurance companies are going to offer flood insurance. Most farmers would not mind just a bit of rain; their website was www.godhelpus.au
  • In Qatar further moves to set up takaful companies are afoot while Bangladesh has changed its plans to have a separate law for Shariah compliant organisations but says insurers will have to choose which type of insurance they wish to offer
  • Insurance penetration in China is low at 2.7% while in India it is now 4%
  • As alluded to in last month’s edition of WoRdS, U.K. buyers are requesting that the E.U. block exemptions from certain competition rules be continued. For informed discussion on related matters, see the website of the Association of Insurance and Risk Managers, www.airmic.com
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    We are currently discussing projects in the following markets and are regularly being asked to attend the annual conferences and meetings of the major networks:

  • Belize
  • Brazil
  • Canada
  • Columbia
  • Dominican Republic
  • France
  • Germany
  • India
  • Israel
  • Italy
  • Netherlands
  • Poland
  • Sri Lanka
  • Turkmenistan
  • United Kingdom
  • U.S.A.
  • Vietnam
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    We continue to work with a growing number of networks to improve and expand their international capabilities.  If you have not already spoken to us about expanding your international markets, now might be the right time for us to conduct a feasibility study. For more information, please see the contact details below.

    What Clients Say

    “They are very responsive and help us understand the ins and outs of doing business around the globe”

    “Worldwide Risk Solutions helps to achieve wider recognition”

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    CONTACT US

    BY POST
    Worldwide Risk Solutions LLP
    20 Blunts Wood Road
    Haywards Heath
    West Sussex
    RH16 1NB, England

    BY TELEPHONE
    Telephone: +44 (0)1444 450 919
    Mobile: +44 (0)7968 191 511

    BY E-MAIL
    info@worldwiderisksolutions.com

    BY SKYPE
    Skype Name: georgeworsley

    Disclaimer
    Information appearing in WoRdS is checked for technical accuracy but is not intended to provide a basis of knowledge upon which advice can be given. Worldwide Risk Solutions accepts no responsibility for any loss occasioned to any person acting or refraining from action as a result of the material included in this newsletter.