AIG TO OFFER TAKAFUL COVER IN ARAB GULF STATES

New York-based AIG, through its Enaya unit, plans to offer its first Sharia-compliant insurance cover, or takaful, to customers in Arab gulf states. Enaya regional vice-president Abdallah Kubursi told Reuters at the weekend that the company would offer takaful cover in motor, property and healthcare lines. “With the boom of Islamic finance and insurance in the region, there is an inherent need for Sharia-compliant products”, Mr Kubursi said. He added that the takaful market is expanding by around 20% a year and revenues could soon grow six-fold from the current $2bn. Charles Bouloux, AIG president for the Middle East, Mediterranean and North Africa, also told Reuters that the group is contemplating the expansion of takaful offerings to other parts of Asia, as well as Europe and the US.