SCOR finalises deal with Iran-based insurer

Reinsurance deal to cover excessive losses in newly opened market

SCOR finalises deal with Iran-based insurer

Insurance News

By Gabriel Olano

Global reinsurance firm SCOR and Mellat Insurance of Iran have entered an agreement, with the France-based reinsurer providing excessive loss coverage for the Middle Eastern firm.

As part of the agreement, SCOR will cover catastrophic losses off Mellat’s fire, disaster, loss of profit, and engineering insurance policies up to €200 million (US$236 million), according to the Financial Tribune.

Earlier this month, the Central Insurance of Iran (CII), a state-owned reinsurer which also functions as the country’s insurance regulator, entered an agreement with SCOR for catastrophe reinsurance for Iranian insurers.

“The agreement marks the beginning of a new era of cooperation between SCOR and Iran,” Denis Kessler, the CEO and chairman of SCOR board of directors, said. In 2015, SCOR SE became the world’s fourth-largest reinsurer, with gross written premiums of €13.4 billion (US$15.82 billion).

Mellat Insurance had premium income of IRR3 trillion (US$7.7 million) for the first half of the Iranian year (ended September 22). Motor insurance, medical insurance, and life insurance were the top products the insurer sold.

The CII had previously announced that it is in talks with over 140 foreign re/insurers seeking to enter the Iranian market, following the lifting of international sanctions in January 2016.

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