The year 2024 was a stark reminder of the escalating climate crisis, with records broken across the board. We experienced the hottest year in recorded history , the highest concentrations of greenhouse gases, and the highest ocean heat content. Furthermore, there was record-low extent of Antarctic sea ice and unprecedented levels of glacier retreat. These weren't just abstract statistics; they translated into significant real-world impacts, including major storms, severe flooding, heatwaves, wildfires and droughts. These events are having cascading effects, negatively impacting food security, forcing population displacement, causing infrastructure damage, and resulting in substantial insurance losses.

Throughout 2024 the region has experienced several challenges and opportunities across an increasingly broad range of interrelated subjects. From an Appointed Actuary’s perspective, capital adequacy has emerged as the most frequently discussed topic.

Amid challenging underwriting conditions and ongoing market consolidation, the GCC insurance sector continued to adapt and evolve in the third quarter of 2024. While profit growth slowed due to weaker underwriting performance, rising investment income and higher insurance revenue offered a measure of stability to listed insurers across the region. In this blog, we explore the key developments shaping the GCC insurance landscape in Q3 2024. Drawing insights from the latest GCC Performance Periodical by Insurance Monitor and Lux Actuaries & Consultants, we delve into regional highlights, industry challenges, and the strategic initiatives reshaping the sector’s trajectory.

When people think of actuaries, they often picture us crunching numbers in insurance companies or financial firms. However, the actuarial skill set can be applied to much broader challenges. Recently, I had the opportunity to use my actuarial expertise to assist stateless individuals in their quest for citizenship, particularly among the Kenyan-Asian community. What began as a technical assignment became a deeply human experience, reminding me of how our profession can create lasting, positive change.

In today's rapidly evolving business landscape, prioritizing sustainability is essential for achieving long-term success and resilience. Many countries are now legally mandating companies to conduct sustainability reports. A key component of these sustainable strategies is the comprehensive assessment of a company’s environmental impact. Additionally, companies must investigate the social return on investment (SROI) to measure the societal benefits generated by their activities.

Crafting a sustainability report requires strategic planning. It must outline a comprehensive approach for embedding sustainability into a company’s core operations. A well-prepared report not only serves as a statement of commitment towards a sustainable future but also acts as a tool for engaging with stakeholders on sustainable development.