Takaful of Islamic Insurance in the Mediterranean: A Coming Age What will attract foreign investment into the Mediterranean insurance market? Takaful- an opportunity for the Mediterranean- Learning best practices to do business Where is Takaful today? What is the opportunity? The II Islamic Finance Summit was held in the framework of the VIII Mediterranean Week of Economic Leaders organized by ASCAME and the Chamber of Commerce and Industry of Barcelona

1. mapfre-asistencia.com
E M E A I
R e g i o n a l
2 0 1 4
Your life. Our world
Takaful or Islamic
Reinsurance
In Mediterranean
28th November, Barcelona

2. mapfre-asistencia.com
Takaful
Islamic Insurance
Differences between Models
index
Your life. Our world
MAPFRE ASISTENCIA
Takaful in the world
Fatwa
New products
Model
Potencial market

3. Countries 47
Employees 36,669
Intermediaries 68,207
5 continents
47 countries
More than 23 million clients
Recognitions:
We are a multinational team which works
to constantly achieve advancements in
service, and develop a successful
relationship with our clients, distributors,
providers, shareholders and society
Reliability, Integrity, Dedication to service,
Innovation in leadership and a Committed
team are our
values
the trusted global insurer
Third year
quarter 2014
end of reporting period: 30/09/2014
Consolidated
income
€ 25,889.3M € 20,242M
Premiums € 21,835.5M € 16,857M
Imputed earnings € 790.5M € 672,8M
Combined ratio
Non-life
96.1% 95.8%
Source:
http://www.mapfregrupo.com/ccm/content/documentos/accionistas/ficheros/inf
ormes_trimestrales/2014/2014-11-05_Quarterly_Financial_report_9M_2014.pdf
2013

4. the trusted global insurer
NUMBER ONE
Non-life insurer in Latin America
SIXTH-RANKED
Non-life insurer in Europe
SECOND-RANKED
Non-life insurer in Europe in terms of solvency
THIRD-RANKED
global assistance insurer
NUMBER ONE
insurer on the Spanish market
THIRTEENTH-RANKED
global reinsurer

5. the trusted global insurer
S&P´s Comments:
Business Risk Profile: Strong
Ratings
BBB+/Stable
Source:
http://www.mapfregrupo.com/corporativo/accionistas/en/cinf
ormativo/ratings_eng.shtml
 Strong brand recognition and leading, profitable positions in
MAPFRE's core insurance markets of Spain and Latin America,
as well as in the international reinsurance market.
 Broad, successful diversification by business line and by
geography.
Source:
http://www.mapfregrupo.com/ccm/content/documentos/acci
onistas/ficheros/rating/2014-07-11_Mapfre_Report.pdf
A/Stable
Financial Strength
Holding Company
Financial Risk Profile: Strong
 Credit risk exposure is a relative weakness, owing to
significant exposure to Spanish investments.
 Strong financial flexibility, with demonstrated access to
capital markets through multiple sources.
Other Assements
 Enterprise risk management: Adequate with strong risk
controls, particularly for underwriting
 Management and governance: Proven ability to grow
profitably
 Liquidity: Excellent, with liquid assets and strong cash flows
 Sovereign risk: Rated three notches higher than the long-
term rating on Spain

6. Definition:
Comes from the Arabic word Kafala, which means
"guaranteeing each other" or "joint guarantee".
The Takaful is based on mutual cooperation, responsibility,
insurance, protection and assistance between groups of
participants.
It’s a form of mutual insurance that complies with the
principles of Sharia (*).
(*) The moral code and Islamic law.
Takaful
Your life. Our world

7. Definition:
It’s an agreement between an Islamic insurance company
and insurance applicants (individuals or legal entities),
which states that the applicants are accepted as members
if they agree to pay a contribution.
This contribution is a free gift to a fund, and provided
that the contributor be compensated in case of
occurrence of the risk under the terms of the insurance
policy, technical standards and the articles of association.
Islamic
insurance
Your life. Our world

8. Differences
between Models
Your life. Our world

9. Takaful
The Takaful and
the Insurance
Insurance
Mutuals
Sharia
(Islamic Law)
Your life. Our world

10. Main figures:
 2008 : Billion US$ 5,323
 2009 : Billion US$ 6,975
 2010 : Billion US$ 9,148
 2011 : Billion US$ 11,999
 2012 : Billion US$ 13,918
Your life. Our world
Global Takaful
Contributions
Growth a 16% per year

11. GCC
FAR EAST
AFRICA
MIDDLE EAST
EAST INDIAN
CONTINENT
LEVANT
OTHERS
38
18
13
9
8
42
78
Number of
islamic operators
Your life. Our world

12. Africa
East Indian
Sub Continent
Far East
GCC
Levant
Middle East
(Non Arab)
Others
4%
9%
4%
19%
6%
38% 20%
Market Share of Islamic
Insurance Operators
Your life. Our world

13. 50%
16%
5%
10%
9%
6%
4% Motor
Fire (Excluding Energy)
Engineering
Accident/GTPL/EL/WC (excluding
Medical)
Marine Hull
Marine Cargo
Medical
Takaful main
Business lines
Your life. Our world

14. 3896 4370 4934
5645
6352
7149
8044
1531
1936
2246
2721
3296
3993
4386
1077
1314
1462
1703
1984
2311
2693
378
432
472
527
588
657
753
193
202
215
227
239
253
267
34
74
86
136
215
341
540
0
2000
4000
6000
8000
10000
12000
14000
16000
18000
2009 2010 2011 2012 2013 2014 E 2015 F
Saudi Arabia Asean GCC Africa South Asia NORTH AFRICA
Key Takaful business
lines in major markets
Your life. Our world

15. Your life. Our world
• Hannover Re opened in 2006 Retakaful a specific
structure in Bahrain
Allianz was also installed in 2006 Bahrain to develop
the niche Takaful
SCOR requested approval Retakaful Malaysia in
2007
 Munich Re announces end of September 2007
Retakaful marketing products in South-east from its
subsidiary in Kuala Lumpur (Malaysia)
Global
Retakaful leaders

16. global solutions
for assistance, services
and speciality risks
For companies in the insurance,
automotive, finance, tourism and
major corporate groups sector, as well
as for individuals and brokers
Competitive advantages which help
you improve and enhance your
business right from the outset
Innovative products and services
which improve your quality of life,
and that of your clients
With the backing and support which
comes from being part of the strong
MAPFRE Insurance Group
That’s our world.
Your life. Our world

17. improving your and your clients’ quality of life
for more than 25 years
about
us
1986
MAPFRE
ASISTENCIA
is
established
1987
International
expansion
commences
1990
Travel
Insurance
product is
launched
2003
Speciality
Risks product
is launched
2005
ITIJ
award
for
Best
International
Assistance
Company
2007
Launch of
FUTURA, a
smart
platform
for
assigning
assistance
services
2010
Online
sales to
individuals
commences
2011
ITIJ award for
Best
Travel
Insurer
Launch of
MAiassist, An
assistance
app for
SmartphonesYour life. Our world
1,142 M€
income
€ 50M
Earnings
(EBT)
92.6%
Combined ratio
1,572
Corporate
clients
198M
beneficiaries
104.554M
insureds
6,005 employees
presence on 5 continents
7M
assistances
2013 WTO Affiliated
Member
ITIJ award for
Best Travel Insurer
Rating
Baa1/
Positive Outlook
Source: http://www.mapfregrupo.com/corporativo/accionistas/en/cinformativo/ratings_eng.shtml

18. global presence,
local experience
Global, regional and local customer service (24 hours a day, 365 days a year)
Your life. Our world
44 countries
direct presence
107 countries
with business ties
Global coverage
57 Offices
12 Contact Centres
36 24/7 Contact
Centres
NORTHAM
6 Offices
1 Contact Centres
3 24/7 Contact C.
LATAM NORTH
7 Offices
7 24/7 Contact C.
LATAM SOUTH
8 Offices
1 Contact Centres
7 24/7 Contact Centres
BRAZIL
1 Office
1 Contact C.
IBERIA
2 Offices
1 24/7 Contact C.
EMEA
22 Offices
7 Contact Centres
14 24/7 Contact C.
APAC
11 Offices
3 Contact Centres
4 24/7 Contact C.

19. FOR
COMPANIES
YOUR VEHICLE.
OUR WORLD
YOUR LIFESTYLE.
OUR WORLD
SECTOR
INSURANCE
FINANCE
CORPORATE
GROUPS
YOUR ROAD. OUR WORLD
YOUR HOME. OUR WORLD
YOUR HEALTH. OUR WORLD
YOUR TRAVEL. OUR WORLD
FOR
BROKERS
COMPLETE AND INNOVATIVE SOLUTIONS ADAPTED TO EACH CLIENT’S
NEEDS
TECHNOLOGY
I N N O V AT I O N
GLOBAL COVERAGE
ASSISTANCE, SERVICES AND SPECIALITY RISKS
YOUR VEHICLE.
OUR WORLDYOUR TRAVEL. OUR WORLD
YOUR LIFESTYLE.
OUR WORLD
FOR
INDIVIDUALS ASSISTANCE, SERVICES AND SPECIALITY RISKS
BRANDS
GLOBAL SOLUTIONS
TRAVEL
AND
TOURISM
products and brands
AUTOMOTIVE

20. MAPFRE ASSISTANCE
Got a Fatwa (*) As Re Takaful company
In Travel Assistance in January 2014, from
Sheikh Mokhtar Sellami
(*) Formal Islamic legal opinion
Chairman of the Supervisory Charaique
board of Zaytuna Bank
Your life. Our world
Fatwa

21. RETAKAFUL WINDOW
ASSISTANCE Company.
SERVICE Co TAKAFUL Company
MAPFRE
RETAKAFUL
WORKFLOW
SERVICE
AGREEMENT
TRAVEL ASSISTANCE
PRODUCTSERVICES
Providers
network Insurers
SERVICE
CONTRACT
RE-TAKAFUL
TREATY
Your life. Our world
Model

22. RE-TAKAFUL TRAVEL ASSISTANCE AGREEMENT
-Between-
TAKAFUL INSURANCE COMPANY
With their address at: ___________________
___________________________________ The Country
(Hereinafter called "The Takaful Insurance Company")
Of the one part.
And
MAPFRE ASISTENCIA
COMPAÑIA INTERNACIONAL DE SEGUROS Y REASEGUROS, S.A.,
with their address at :
C/ Sor Angela de la Cruz, n°6 E- 28020 Madrid, España,
(Hereinafter called "The Company")
of the other part
Your life. Our world
Agreement

23.  Roadside Assistance
 Extended Warranty
 Brown & White
 GAP
 PPI
 Home Assistance
MAPFRE ASISTENCIA
New Takaful Products
Your life. Our world

24. The Windows Model
In the windows model, a conventional Reinsurance
company (MAPFRE ASISTENCIA) offers Islamic policies,
via the same channels it uses for their
conventional Reinsurance services.
No Branches Dedicated & No Subsidiaries
separate legal entity
MAPFRE ASSISTANCE
Re-Takaful Business Model
Your life. Our world

25. MAPFREASISTENCIA
Actualmarket
Your life. Our world

26. MAPFREASISTENCIA
Potential market

27. mapfre-asistencia.com
Your life. Our world
Thank you!