THE largest Takaful group will be created in United Arab Emirates after major of two companies in the Middle East nation.
Reports say Dubai stock-listed provider of Islamic insurances has agreed to acquire Al Hilal Takaful from Al Hilal Bank, which will create the largest takaful group in the United Arab Emirates (UAE).
It was reported that Takaful Emarat, a Dubai stock-listed provider of Islamic insurances (known as takaful) has agreed to acquire Al Hilal Takaful from Al Hilal Bank, Abu Dhabi in an all cash transaction.
The transaction has received initial approval from the UAE's Insurance Authority and brings together two "complementary takaful businesses," the report said.
Takaful Emarat provides life and health takaful insurance for customers, mostly in Dubai and the northern sheikhdoms of the UAE.
Al Hilal (Arabic for half moon) operates with a general licence, offering a range of cover for individual and corporate customers, primarily in the UAE capital Abu Dhabi.
The two companies wrote over 900 million dirham (245.23 million U.S. dollars) in combined gross written contributions in 2016.
Mohammad Al-Hawari, Executive Board Member and Managing Director of Takaful Emarat, said "in parallel, we are making strong progress in developing our digital platform, which will mean a highly efficient and cost effective service for our customers."
Al Hilal Takaful, a well-established and complementary business, "is a very good fit for us," he noted.
Alex Coelho, Chief Executive Officer of Al Hilal Bank, said "We are working closely together to ensure a smooth transition for all our insurance customers."