SHARJAH -Al Buhaira National Insurance Co. (Abnic), a UAE-based insurance company, and Uniqa Group of Austria have joined forces to set up an insurance company —Takaful Al Emarat Insurance -based on Shariah.

Abdalla Juma Al Sari, member of the founders committee of Takaful Al-Emarat, and Hannes Bogner Board Member and CFO of  Uniqa group, announced the strategic partnership yesterday.
The launch of the new entity underscores the phenomenal growth of the insurance sector in the UAE and GCC countries. A field study identified the need for establishing a specialised insurance company based on Shariah, the first of its kind in the region. The company will cater for individual and corporate insurance requirements, according to Al Sari.
Konstantin Klien, CEO of  Uniqa said the partnership is a textbook joint venture, in which the specific strengths of the individual partners complement each other to create a sum that is greater than its parts. "As one of the leading insurance companies in the UAE region, Al Buhaira brings its market knowledge and a connection to the region based on years of activity. Uniqa in turn supports the venture with its broad know-how in the areas of life and health insurance. In view of the announcement of mandatory health insurance for the expatriates working in the Emirates -that is 80 per cent of all workers  -and the high growth potential in life insurance, Al Buhaira has long been on the search for an international partner with specific expertise in personal insurance. We are proud that Uniqa was selected for this and we will contribute to success in the region with the experience we have gained in Austria and the 19 other European markets in which we are active.”
Takaful Al-Emarat Insurance has obtained the endorsement of the Department of Economic Development in Dubai, and secured the consent of the Ministry of Economy, Insurance Commission, and Securities & Commodities Authority  to practice the business of Takaful insurance, covering life insurance, money making, and health insurance.
The paid up capital of the company will be Dh150 million, 20 per cent of which will be owned by Al Buhaira National Insurance Co., 15 per cent by Uniqa Group, 10 per cent by other stakeholders with considerable experience in investment and capable of playing an effective role in the economic and financial sectors. According to the Article of Association, 55 per cent of shares will be offered on March 23 to public subscription for UAE, GCC nationals. The Article of Association and Memorandum of the Co. stipulated that foreigners (individuals, companies & establishments) are entitled to own up to 25 per cent of the company's shares.