SALAMA Consolidates its Holding in Best-Re

SALAMA, Islamic Arab Insurance Company, the world’s largest Takaful and Re-Takaful company, has increased its shareholding in BEST-Re, the world’s largest Re-Takaful company, from 60% to 100%.

Sheikh Khaled bin Zayed bin Saqr al Nahyan, Chairman, SALAMA, Islamic Arab Insurance Company said, “The consolidation of shareholding in BEST-Re further supports SALAMA’s aggressive expansion plans into the Takaful and Re-Takaful markets.

We have also consolidated our holding in all subsidiaries in North Africa by increasing our shareholding in TARIIC to 95%, so we are now positioned ^ to further improve the operational efficiency of all our subsidiaries which in turn will improve the operational result of the entire company.

“This will allow us to implement the vital strategic work we are doing on new products in the UAE into these new markets, and will encourage further revenue growths.”

BEST-Re was established in 1985 and is the world’s first Re-Takaful company, it also remains the largest with an impressive global presence in over 60 countries.  BEST-Re is the only Re-Takaful company which has investment grade ratings by two renowned international rating agencies – Standard & Poor (S&P) and AM Best.

It was recently awarded a B++ ‘Very Good’ rating from AM Best and a BBB ‘Good’ rating from Standard & Poor, along with an AAA rating for having a very strong capital adequacy ratio.   AM Best assign their B++ rating to companies that have, in their opinion, a good ability to meet their ongoing obligations to policyholders.

The Standard & Poor’s insurer’s credit report showed BEST-Re as having strong and stable loss ratios; a very strong capital adequacy ratio (AAA); a consolidating and geographically diversified competitive position in emerging markets; and very flexible and local organisation, with strong knowledge of local markets’ underwriting terms and conditions.

Dr. Saleh Malaikah, Vice-Chairman and CEO, SALAMA, Islamic Arab Insurance Company said: “Our results for the year ended for 2005 were exceptional, achieving more than double the profit originally forecast. Recently announced first quarter 2006 results are also impressive, recording a profit of AED 70 million – which is almost 70% of year 2005 profits.”