Zurich launches takaful venture

by David Masters

Story link: Zurich launches takaful venture

Switzerland-based Zurich Financial Services Group has established a joint Islamic insurance venture with Abu Dhabi National Takaful Company (ADNTC).

The joint venture, called Zurich Takaful Company Limited, will be based in Dubai at Dubai International Finance Centre (DIFC) and will deal with family takaful businesses across the Middle East.

It is 51% owned by Zurich and 49% owned by ADNTC.

Takaful is a form of Islamic risk management that is legal under Muslim law (Sharia).

Conventional insurance is illegal under Islamic law because it includes anticipation of profit, uncertainty, and income from interest.

Mario Greco, CEO of Zurich’s international operations, said the joint venture with ADNTC is an ‘exciting growth opportunity’ that demonstrates the group’s commitment to expanding in the Middle East and North Africa.

He added that the blend of Zurich’s global financial strength and ADNTC’s specialist takaful expertise will create a powerful new force in takaful.

ADNTC’s chairman, Khadem Al Qubaisi, said his company is ‘delighted’ to be working with Zurich.

Zurich’s initial focus will be establishing its DIFC office as a regional hub, which will then act as a springboard for future growth in the region.