GIG-Egypt, Germany’s Hannover Re in talks to renew reinsurance deal

Egypt’s Arab Misr Insurance Group (GIG) has started talks with Germany’s Hannover Re to reach a further one-year renewal of their reinsurance agreement.

GIG’s financial year for last year will back the renewal of the agreement without placing any additional conditions, managing director Alaa El Zoheiry told Amwal Al Ghad on Sunday.

The Egyptian company has recently received a positive rating from both A.M. Best, which will in return support the renewal of reinsurance agreements with foreign partners, El Zoheiry added.

In June, A.M. Best has affirmed GIG’s Financial Strength Rating of B++ (Good) and the Long-Term Issuer Credit Rating of “bbb”, with a stable outlook. A.M. Best cited the company’s track record of excellent operating profitability, solid level of risk-adjusted capitalisation and good business profile in Egypt’s insurance market.

Hannover Re SE, with a gross premium of around €14.4 billion, is the third-largest reinsurance company in the world. Its headquarters is in Hannover, Germany.