Summary
Issued by the Insurers Federation of Egypt
The Middle East Marine Insurance Forum 2025 revealed that the total value of the marine insurance market in the Middle East and Africa reached approximately USD 503 million in 2024. This figure represents only around 2% of the global market, reflecting the limited regional contribution to this critical industry despite the area’s significant geographic importance.
Foreign Markets Dominate Hull Risk Coverage
According to the 2025 Middle East Marine Insurance Market Report issued by Cognitive Market Research, the hull and machinery insurance sector is notably underrepresented in the region, with the Middle East and North Africa accounting for just 0.65% of global insurance premiums in this segment. This indicates that the majority of hull risks continue to be underwritten abroad—particularly in London, Europe, and Asia—instead of through local insurers in the region.
Forum Highlights Opportunities and Challenges
The forum was held for the first time in Egypt, under the auspices of the Financial Regulatory Authority, and was organized in collaboration between the Insurers Federation of Egypt and the International Union of Marine Insurance (IUMI). It concluded at the end of last month with a session titled “Prospects of Marine Insurance in Africa and the Middle East: Challenges and Opportunities”, chaired by Hossni Moshrif, head of the Marine Insurance Committee at the Insurers Federation of Egypt.
During the session, it was highlighted that Gulf Cooperation Council (GCC) countries account for about 6% of global marine insurance premiums, showing a relatively stronger performance than the rest of the region. Still, the combined share of the Middle East and Africa remains limited, standing at only 5.5% of the global marine insurance market.
Untapped Strategic Importance
As reported in the weekly newsletter of the Insurers Federation of Egypt, the session also provided insight into the marine insurance landscape in Egypt, the Gulf states, and the broader Middle East, identifying areas of similarity and difference in practices across these markets.
The region encompasses key maritime routes such as the Suez Canal, which handles between 12% and 15% of global seaborne trade, along with the Bab el-Mandeb Strait and the Strait of Hormuz, through which nearly 30% of the world’s seaborne oil is transported. Despite this strategic importance, the regional contribution to marine insurance remains minimal, revealing a clear mismatch between potential and actual performance.
Egypt Positioned for Growth with Strategic Location and Digital Transformation
The forum emphasized that Egypt’s market faces several challenges, chief among them being low public awareness of the importance of marine insurance. However, it also has strong growth prospects, including:
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Leveraging Egypt’s strategic location via the Suez Canal
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Upgrading port infrastructure
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Accelerating the adoption of digital technologies in marine insurance to support e-commerce and increase insured trade volumes
The discussions also stressed the importance of building public-private partnerships, and adopting incentive policies that encourage local insurers to develop more specialized products aligned with the demands of the global marine insurance market.
Growth Forecast and the Need to Strengthen Capabilities
The report projects that the marine insurance market in the Middle East and North Africa could grow at a compound annual growth rate (CAGR) of 3.2%, provided that attention is directed towards developing human capital and strengthening infrastructure. This would enable the region to gradually expand its global market share and reduce dependence on foreign coverage.
Ultimately, the forum concluded that success in this sector relies heavily on integrating digital transformation, building technical capacities, and nurturing skilled professionals, which could lead to a more mature and independent market, empowering regional insurers to tackle global industry challenges more effectively.