ARIG 2nd Quarter Performance

Solid 2nd Quarter for Arig Despite Trailing InvestmentsPosted: Tuesday, July 22,

Manama: Arab Insurance Group (B.S.C.) (Arig) announced half-year net profits of US$ 11.4 million (1st HY 2007: US$18.6 million). The company's core reinsurance business continues to perform better than for the same period last year. However, the volatility of the global financial markets resulted in lower investment income compared to 2007. In order to balance risk from reinsurance against capital market risk, Arig maintains a highly diversified investment portfolio, which is conservatively managed.

Arig's reinsurance portfolio grew by 39% for the first six months with Gross Written Premium accounting for US$ 184.0 million (1st HY 2007: US$ 132.5 million). Life business and the growth dynamics experienced within the Non-Life portfolio continue to be key drivers of growth.

Shareholders' equity stood at US$ 289.4 million and book value per share was US$ 1.37 at the end of June 2008.

The Company continues to expand on its already strong competitive position in the Afro-Asian region - despite a growing number of national and international players offering ample capacities to clients.

Posted by Admin.

Medical Insurance Q & A - Saudi Arabia

Selected Medical and Health Insurance Q & A - Saudi Arabia

Published by Saudi Gazette, English Newspaper, Jeddah, Kingdom of Saudi Arabia

By Shujaath Ahmed Khan, General Manager, Creative Associates, is also a free lance writer and Insurance Columnist for Saudi Gazette.

Q: I am a medical doctor working for a clinic. I have been working with around 13 to 18 insurers and always feel frustrated as some claims get rejected by some insurers while others accept them. It is very difficult to understand which insurer is covering what. Certain policies are clear but most of them are confusing. How can we cope with such situations?

A: Your experience is quite understandable. But the entire blame cannot be shifted to the insurance company. In the over-all insurance sector, there is a lack of well-qualified and trained personnel. Some insurance claims handlers may not be well conversant with the conditions of the policy. The policies are also drafted in such a way that gives some scope for confusion. The recent drafting of policies by CCHI has provided some sort of uniformity to the standard coverage. But it also has certain grey areas, which are being interpreted differently. I will suggest you to put the diagnosis and prognosis clearly on your prescription slip. This will help the doctors processing your claims to relate the prescription with the drugs, tests and other procedures and reduce the number of rejections. You can always re-submit the rejected claims with your comments and explanation. If you feel that the claims are rejected unjustifiably then you have a right to lodge a complaint and even stop dealing with the concerned insurance companies.

Q: I am a doctor working for a reputed hospital. Since the very beginning I was interested in health insurance management and policies. With the recent boom of medical insurance I want to make a career in medical insurance. Kindly let me know of any courses for doctors to get trained for specific management positions in insurance industry?

A: Medical Insurance is a vast area. It offers tremendous opportunities for job seekers. Even today there are variety of policies, which will help us in better understanding of medical insurance.We are progressing toward regulated medical insurance products, which will be simpler and easier to understand.Since you are working for a reputed hospital in the Eastern Province, it must be having various personnel authorized to deal with insurance companies. I will suggest you to try to enter that area and gain some experience in insurance claims handling. Simultaneously, you can appear for professional insurance examinations. Nowadays these are conducted twice a year.To start with you can appear for licenciate examination, which will be held in the later part of this year. You may visit the website of Insurance Institute of India.Once you gain some experience you may look for opportunities with medical insurance companies and/or Third Party Administrators.

Q: I am working for a multinational company. We are having full medical insurance. My wife and children are also covered under the policy. I am planning to bring in my mother-in-law for Haj. She will be staying here for at least three months. Our insurance company informed us that they cannot provide cover to her. How can we get her covered for medical expenses?

A: Most of the insurance companies do not cover parents or people other than the wife and children of members. There is also a restriction in getting the coverage for visitors. However, there are other options but these are a bit expensive and will not give adequate coverage. The best option available to you will be to check with insurers in her home country. They will have medical coverage under their specific policies to cater to overseas travelers.The title of the coverage may differ like overseas health insurance, overseas medical insurance or overseas medi-claim, international, visitors etc. It is cheaper and you can get adequate coverage.Other option available to you is to buy standard travel insurance with adequate medical coverage. There are different packages available depending on the sum insured and the length of stay. Plan her stay first and then try to buy the cover for her accordingly.

Viewers Response

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Thanks for your valuable and interesting Article.

Dr.Yasser Salem. Network Manager. Med Net Gulf E.C., Jeddah. ************************************************************************************

I would like to provide you with additional information which could have been provided in your column and advice that you gave a reader in Sunday’s Gazette. You should be aware that Saudi Arabia now has its own insurance education program through the Institute of Banking (IOB), the education arm of the Saudi Arabian Monetary Agency (SAMA). SAMA is also the regulator of insurance in the Kingdom While the insurance programs are currently being developed and enhanced, the IOB has already launched an Insurance Foundation Certificate. This program of courses is specific to the Saudi insurance market and is available in both English and Arabic. You will also be interested in learning that the IOB, on behalf of SAMA (the insurance regulator) will soon be launching licensing programs for a variety of specialist service providers in the insurance sector. Eventually, it will be necessary to hold an IOB/ SAMA license in order to work in specialist roles, such as a loss adjuster.

Ian John Wilson, FIIC, MBA Head of Insurance Programs Institute of Banking

Saudi Arabia Monetary Agency *************************************************************************************

Being a doctor working for an Ministry of Health Hospital, I find your column very interesting. I will appreciate if you can provide me with your newsletter. I feel that one of the queries addressed by you was sent by me. Thanks for it.

Dr. Saleem, M.B.B.S., M.D. Riyadh Region.
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I had received an email sent by you through a friend and found it to be interesting. I always find insurance a difficult subject and feel what the salesman sells is totally different when you experience loss. Your addressal of the queries are excellent. Keep up the good work.

Mustafa, Team Leader. Rabigh *************************************************************************************

Being in the Insurance field for many years, I found your queries to be excellent. I have not seen such queries even in the western countries, where insurance is supposed to be in its pinnacle. I have also gone through your website and found some useful information. But there is also duplication, which should removed to make a pleasant experience for visitors. Some of your answers to queries pertaining to Careers in Insurance Industry, Motor Insurance, Medical Insurance and Marine Insurance were fantastic. I will be sending you a query which may not be pertaining to Saudi Arabian Insurance Market but a general topic, hope I will get the right answer.

Fouad, Senior Manager, Re-Insurance. *************************************************************************************

Your Q & A columns in Saudi Gazette are excellent and interesting. I never miss your articles. Even by chance I happen to miss your article I try to get hold of old Newspaper and read it. I never thought that insurance field will provide us with so many queries. Being in the Insurance field I find your answers exactly suiting to the needs of the customers and insurance industry personnel.

Mohammed Sadullah Khan, B.Sc.,M.B.A.,F.I.I.I.,A.C.I.I.I. (U.K.). RSA Group, Al-Alamiya Insurance Company. Dammam. **************************************************************************************

Medical Insurance in Saudi Arabia

Medical Insurance is compulsory in Saudi Arabia for the companies where the expat members are more than 100. However very recently the Passport Office is also insisting upon smaller companies to produce Medical Insurance inorder to process their Residence Permits(Iqama).

Now Medical Insurance is being supervised by Council for Co-operative Health Insurance. The purpose of this body is to regulate Medical Insurance in Saudi Arabia. The Insurance Companies, Clinics, Hospitals and other Medical providers need to be registered with CCHI inorder for other authorized parties to deal with them.

They have also standardized Medical Insurance Product. Prior to this very few companies in Saudi Arabia did provide Medical Insurance.

But now all the companies where the expat employees are more than 100 members have a proper Medical Insurance in place.

Very soon all the members of the entire population may end up having some sort of Medical Insurance in place. Saudi Arabia being a largest Country in the Arabian Peninsula. Many Insurance companies have entered the market with great enthusiasm to capture the Medical Insurance Market. But the profitability of Medical Insurance is questionable. In the past quite a few companies have closed down their operations due to losses in Medical Insurance.

However no one can deny the future growth of Insurance Market in Saudi Arabia.