Iran insurance industry grows 20% in 7 months

Business Materials 4 December 2016 14:22 (UTC +04:00)

Tehran, Iran, December 4

By Mehdi Sepahvand –- Trend:
The insurance industry in Iran experienced a growth of 20 percent in the first seven months of the current Iranian fiscal year (since March 20), Governor of Central Insurance of Iran Abdolreza Hemmati said at the 23rd National and 9th International Conference on Insurance and Development in Tehran.

Hemmati said 170 billion rials ($5.3 billion) has been invested in the industry, which will reach 250 billion rials ($7.7 billion) if we add to it the outstanding debts, Trend correspondent reported from the event.

As for developmental plans, he said Iran is taking measures to discard traditional monitoring techniques in order to establish greater control over the behavior of insurers.

“We are preparing grounds to boost both on-site and off-site observation levels,” he noted.
He further said insurance penetration in Iran stands at 2 percent, which is above the average penetration rate for the MENA region (Middle East and North Africa).

He said compensations for automotive and health sectors have weighed most heavily on insurers. “Only in the past seven years, insurers have paid 35 trillion rials ($1.1 billion) as third party compensation.”