Oman Insurance Industry

Insurance sector has been steadily growing in the Sultanate. Total assets of Insurance companies have grown from RO.175 million in the year 2004 to RO.493 million in the year 2010. Gross premium increased from RO.102 million to RO.248 million during the same period.

Insurers paid claims amounting to RO.810 million during these seven years. Claim payouts were particularly high during the years from 2007 to 2010 due to widespread damages caused by Tropical Cyclones Gonu and Phet that hit the Sultanate on 6th June 2007 and 4th June 2010 respectively.

The industry provides employment to 1,925 people of whom about 1,110 are Omani nationals. These figures do not include employees of agencies of Insurance companies.

In the year 2010, there were 22 Insurance companies operating in Oman; of which eleven were national companies. Twenty four Insurance brokers operate in the market.

Total Market premium for the year was in the region of RO.248 million of which RO.207 million General Insurance and RO.41 million Life Insurance. Classwise distribution of general Insurance premium is as under:-
Motor : 50%
Property : 23%
Miscellaneous : 20%
Marine : 7%
In the year 2010 after considering reinsurance outward, claims incurred, cost of production and general and administration expenses General Insurance Industry in Oman lost RO.15 million. Major contributor to the loss is motor which stood at RO.13 million. This, however does not consider investment and other income of Insurers.