ISLAMABAD
\nFederal Minister for Finance, Revenue, and Economic Affairs, Dr Shamshad Akhtar said Pakistan needs significant transformation in the insurance industry to address its fundamental challenges while catching up with global trends to maximize the value proposition of this industry.
\nWhile addressing a two-day International Insure Impact Conference 2023, organized by the Securities and Exchange Commission of Pakistan (SECP), she asked the insurance industry to recognize that the risks are growing, both globally and nationally, demanding adequate coverage for people and businesses, said a press release issued here by SECP.
\nThe Minister also gave a keynote address at the session, where a large number of industry experts, professionals, and officials from the insurance and financial sectors were present. Dr Shamshad said that Pakistan needs to track and embrace emerging trends in the insurance sector adding that the global insurance industry is undergoing technological advancements, evolving customers\u2019 expectations, and a pressing need for sustainable practices.
\nShe advised concentrating on lifting the low penetration ratio of the insurance industry. She said that SECP\u2019s 5-year strategic plan will set the tone for future policy, legal, and regulatory landscapes. Incorporating the recommendation of the insurance industry reform committee would be a step in the right direction.
\nShe suggested focusing on mainstreaming global best practices, reducing the cost of doing business, digitizing the operations, and making effective use of technology generally. SECP Chairman Akif Saeed, in his welcome address, informed the participants about SECP\u2019s determination to work closely with industry stakeholders to align a strategic vision, propel economic growth, and cater to rising community aspirations.
\nTalking about the 5-year strategic plan, he added that five years down the lane, SECP expects to capitalize on the digital ecosystem, increased outreach of insurance, growth in the Takaful sector, and enhanced reinsurance capability of the sector.
\nSetting the onset of the conference, SECP Commissioner Insurance, Aamir Khan, in his address pointed towards the key focus areas of legal and governance structure, tax reforms, awareness and perception, and the need for collaborations and embracing technology for rapid development of the sector.
\nDeputy Country Director, Asian Development Bank in Pakistan, Mr. Asad Aleem, commended the efforts of SECP to strategize the development of the insurance sector in Pakistan through a 5-year plan.
\nHe said that ADB would continue to support such initiatives for the sustainable development of the insurance sector. Musa Alpan Bahar, Project Coordinator at TCIP, presented a case study on the Turkish Catastrophe Insurance Pool. Musa informed the participants that Turkey is one of the most seismically active regions in the world.
\nHe informed me that in Turkey, the compulsory earthquake insurance model is a very well-designed system. The 2023 earthquake in Turkey affected 14 million people, causing a total economic loss of 103 billion USD and an insured loss of $5 billion.
\nMusa said that the TCIP made more than $34 billion in payments to more than 473,000 claims. Waseem Khan, SECP\u2019s head of insurance, presented the 5-Year Strategic Plan and shared details of strategic outcomes and actionable items.
\nPanel discussions were held on topics such as disaster risk and crop insurance, taxation issues, improving industry perception, and enhancing policyholder protection.
\nThe panelists highlighted certain key areas to be included in the draft 5-year plan before its final launch. They requested SECP to continue its current inclusive approach by taking the industry on all policy decisions.<\/p>\n
Islamabad: Ambassador of the Federal Republic of Germany, H.E. Mr. Alfred Grannas called on Caretaker Federal Minister for Finance, Revenue, and Economic Affairs, Dr. Shamshad Akhtar at Finance Division.<\/p>\n","protected":false},"excerpt":{"rendered":"
ISLAMABAD Federal Minister for Finance, Revenue, and Economic Affairs, Dr Shamshad Akhtar said Pakistan needs significant transformation in the insurance industry to address its fundamental challenges while catching up with global trends to maximize the value proposition of this industry. While addressing a two-day International Insure Impact Conference 2023, organized by the Securities and Exchange […]<\/p>\n","protected":false},"author":2,"featured_media":374245,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":{"0":"post-374207","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-top-news"},"yoast_head":"\n