Wethaq Obtains Final Approval to Operate in Petroleum and Energy Insurance

As reported by Amwal Al Ghad newspaper – Written by Islam Abdel Hamid

Antar Gad, Chairman of Wethaq Takaful Insurance – Egypt, announced that the company has obtained final approval from the Financial Regulatory Authority (FRA) to offer petroleum and energy insurance services.

In exclusive statements to Amwal Al Ghad, Antar explained that a study will now be prepared by the company's production, branches, technical, and reinsurance departments to begin underwriting in this important sector of the Egyptian economy.

He noted that the company’s executive management has strong relationships with global reinsurance markets, which will play a significant role in underwriting this line of insurance in the coming period.

He also revealed that the company plans to soon begin the procedures for obtaining a license to offer aviation insurance, supported by its intention to increase its paid-up capital to EGP 400 million.

On another note, Antar added that Wethaq Insurance achieved a premium portfolio of EGP 700 million during the first half of the current fiscal year 2023/2024, with the company targeting total premiums of EGP 1.4 billion for the year.

It is worth mentioning that the general assembly of Wethaq Takaful Insurance – Egypt approved last November an increase in the company’s paid-up capital to EGP 400 million, up from EGP 320 million, with an increase of EGP 80 million funded from profits.

The general assembly also approved an increase in the company’s authorized capital from EGP 500 million to EGP 1 billion, reflecting the board of directors’ ambitions and forward-looking vision for the company in the coming years.

It is noteworthy that Wethaq received final approval from the Egyptian Financial Regulatory Authority in December 2007 as an Egyptian joint-stock company governed by Law No. 10 of 1981. It is registered with the Authority under number 23 and has a commercial registration number 36274. The company began operations in 2008 with an authorized capital of EGP 200 million, issued capital of EGP 60 million, and paid-up capital of EGP 30 million at the time.