The insurance management industry has grown substantially over the past few years, according to figures published by the Malta Insurance Management Association (MIMA) and FinanceMalta in their recent joint 2009 Managed Insurance Company Survey Report.

According to the report, the number of managed (re)insurers has almost doubled over the last two years – from 20 to 38 – while the total gross premium written in Malta for 2008 by insurance companies amounted to e512 million, or 28 per cent above the 2007 results.

Tax paid by insurers under management over the same period also doubled from e10 million to e20 million. Moreover, gross fee revenues generated by management companies in 2008 rose by almost 200 per cent to e3,734,600 from the e1,277,862 generated in the previous year, while the total cash and investments balance for insurers under management increased by 59 per cent to e882,864,426.

Speaking about the survey’s results, MIMA chairman John Tortell commented, “They are clear indications that the international insurance market has become a substantial source of revenue in the financial services sector due largely to unrelenting efforts of all the licensed insurance managers to promote their services worldwide and the regulatory authorities to ensure a consistent application of the laws and regulations. These survey results augur well for the continuing growth of this sector.”

FinanceMalta chairman Kenneth Farrugia added, “These results further confirm that the insurance management sector has continued to gain traction. The outcome of this survey is even compelling when one considers the economic and financial turmoil faced by the international financial services industry. Malta’s insurance management industry has become an important contributor to the growth of the financial services industry, and the practitioners, Regulator and government must constantly work hand in hand to ensure that Malta retains those pivotal competitive factors that have contributed to the growth achieved so far.”

MIMA comprises all the insurance managers operating in Malta. The association was established by its founding members for the purpose of safeguarding the interests of, and cultivating, insurance management expertise among its members, thus ensuring that Malta remains a leading centre for insurance management services.