QATARI CONGLOMERATE EYEING THAI INSURER SAMPANH

Qatari conglomerate Al Daicel has shown a “strong interest” in Thailand-based motor insurer Sampanh, according to Thai Insurance Department director-general Chantra Purnariksha. Ms Chantra said that a preliminary study of Al Daicel, whose main interests are in construction and steel, had shown it to be “financially strong”. Ms Chantra said that the department would be meeting with executives from Sampanh tomorrow to discuss the proposed deal and how Sampanh proposed to address its capital shortfall. Sampanh, along with Thanasin and Saha Life, has been told by Thai regulators that its capital position is insufficient and that it needs to shore up its finances. Sampanh has a registered capital of 1.2bn baht ($38.6m) and a reported capital deficit of between 600m baht and 700m baht. Some policyholders were said to have complained about delays in payments on claims. The company recorded gross premiums of 3.54bn baht in 2006, nearly all of it in motor. Of this, 2.77bn baht was in mandatory liability cover.