Monday June 18, 2012

Labuan to be centre for reinsurance

LABUAN: Efforts are in the pipeline to position Labuan as the centre for reinsurance driven by the future prospect and performance of the insurance sector here last year.

Director-general of Labuan Financial Services Authority (LFSA) Ahmad Hizzad Baharuddin said the insurance sector in Labuan has been resilient to the effects arising from calamities in Asia-Pacific and to a certain extent, insulated from the effects of the European sovereign debt crisis.

“Going by the numbers, the geographical appeal of Labuan IBFC as an insurance domicile continued to grow with a 7.1% increase in new licences, bringing the total approved insurance and insurance-related companies to 181 from 169 in 2010,” he said.

Ahmad Hizzad said this at the Labuan International Insurance Association’s (LIIA) conference On “Positioning Labuan as the Centre for Reinsurance” here on Saturday.

He said there were five full-fledged retakaful companies and twelve retakaful windows conducting business in Labuan International Business and Financial Centre.

The operators, from Asia-Pacific, Middle East and Europe, recorded a total gross written premiums of US$1.6bil in 2011, representing an increase of 33.3% from the figure in 2010, he said. – Bernama

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