Interview: Nasser Al Misnad, CEO, Damaan Islamic Insurance Company (Beema), on how regulatory frameworks and digital tools can influence local penetration and risk management
What is the outlook for the insurance industry, and how are companies adapting to emerging market segments and evolving demand patterns?
NASSER AL MISNAD: The insurance industry is expected to remain stable, with moderate growth. The market is limited, with few significant drivers for expansion after the 2022 FIFA World Cup, as the bulk of major infrastructure projects has already been completed. However, the high level of competition between national and foreign companies opens opportunities for differentiation based on service quality and product offerings.
Although the construction and engineering segments have slowed, others – such as medical insurance – are poised for growth. The introduction of mandatory health insurance could be a game changer, with many companies already preparing their infrastructure to meet anticipated demand. Additionally, Qatari insurance companies are adapting by focusing on customer service and enhancing the quality of their portfolio.
To what extent has recent volatility in global markets influenced the demand for insurance, and how can the sector contribute to economic growth?
AL MISNAD: Global market volatility, primarily driven by events such as the conflict between Russia and Ukraine, has affected certain insurance segments, such as marine cargo, where premium has increased due to higher risk exposure. Overall, however, the local Qatari market remains conservative, particularly in personal insurance, with substantial untapped potential in areas including life and health insurance.
Insurance plays a key role in Qatar’s economic growth and diversification by protecting businesses and individuals from unforeseen risks, supporting confidence in the market and enhancing economic resilience. The sector’s contribution to Qatar National Vision 2030 lies in offering insurance coverage across various industries and segments, thereby creating a secure environment in which both businesses and consumers can flourish.
Where do you see opportunities for digital tools to enhance local insurance penetration?
AL MISNAD: Digital tools present a significant opportunity for increasing insurance penetration, particularly by making services more accessible and efficient for customers. Digitalisation in areas such as online sales for home, travel and motor insurance has already proven successful, especially during the Covid-19 pandemic when digital platforms became essential for customer interaction. Data availability through other industries further enhances cross-selling opportunities and facilitates a more personalised approach to insurance.
For digital transformation to succeed in the insurance sector, critical factors include substantial investment in digital infrastructure, customer awareness and regulatory support. Integrating digital channels with customer service, including tools like WhatsApp and online platforms, is essential in order to meet customer expectations in the evolving market.
In what ways is the regulatory framework for the sector influencing insurance penetration, fraud mitigation and risk management?
AL MISNAD: Qatar’s regulatory framework is becoming increasingly dynamic. The central bank’s involvement in regulating pricing and requiring mandatory reporting has created a more structured environment which supports both fraud mitigation and risk management efforts. Regular audits and inspections ensure compliance and ongoing interaction between insurance companies and regulators, which facilitates the development of a more resilient insurance market.
One area where regulation could further enhance insurance penetration is through mandating certain types of coverage – medical malpractice or workers’ compensation, for instance. These measures would both protect consumers and contribute to the expansion of insurance across different sectors, thereby supporting economic growth and market stability.
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