More Potentials for Retakaful Business

Munich Re Retakaful thinks that there is still untapped potential in the retakaful market in Malaysia. Although currently working with all 8 takaful operators in the country, Munich Re observes that when it comes to reinsuring the risks, the takaful operators do not just cede to retakaful operators but also to conventional reinsurers.

Munich Re also thinks that governments in Asia do not have enough insurance on public assets and utilities, compared to developed countries. The countries would lose in terms of GDP when a major disaster strikes and would have to resort to raising taxes to rebuild the infrastructure.

Source: The Edge Daily