Acts of terrorism should not influence renewals

According to Alla El-Zoheiry, current president of the General Arab Insurance Federation (GAIF), acts of terrorism committed in Egypt should not have any influence on the renewal fares of 2015.

A. El-Zoheiry reminds that reinsurance pricing is made on an "each case" basis and takes into account the amount of compensation paid during the previous year. Moreover, with the imminent launch of mega-projects like the construction of a new channel in the Suez Canal, outlook of the industry is good.

The excess capacity of reinsurance noted in the MENA region will also lead to a stabilization of prices, resulting from the fierce competition between reinsurers.