This document provides a summary of the insurance market in Oman for 2017. Key points include: - Gross insurance premiums grew slightly to RO 451.57 million in 2017. - The number of insurance policies increased 4% to 1.72 million policies in 2017. - Takaful (Islamic) insurance premiums grew 9% to RO 45.76 million in 2017. - The insurance sector contributed an estimated 1.63% to Oman's GDP in 2017. - Various regulatory actions were taken by the CMA, including 164 related to licensing. - Training programs reached 468 insurance sector employees to further Omanization.

1. Insurance Market
Performance 2017
CAPITAL MARKET AUTHORITY
P.O. Box: 3359, PC:112, Ruwi
Sultanate of Oman
Tel.: +968 24823100
cma.omcmaomancmaoman
www.cma.gov.ominfo@cma.gov.om

2. 4746 ANNUAL REPORT 2017
Capital Market Authority
ANNUAL REPORT 2017
Capital Market Authority
Figure (2) Per capita insurance expenditure (RO) (2009-2017)
2010
2015
2015
2012
2012
2013
2013
2011
2011
2014
2014 2009
2017
2017
2016
2016
1.3%
1.1%1.1%1.1%1.2%
1.3%
1.6%
1.8%
1.63%
74.9
89.484.9
90.2
93.4
97.9
102.3
100
97
Insurance Premiums
Change in Premiums
20
0
9
20
0
9
20
11
20
11
20
13
20
13
20
15
20
15
20
10
20
10
20
12
20
12
20
14
20
14
20
16
20
16
20
17
20
17
237.83
14% 13%
17%
10% 10% 11%
2% 0.3%
4%
247.85
279.64
326.81
359.93
396.52
442.08
450.24
451.57
Role of the Insurance sector in the national economy:
Contribution to the GDP of the Sultanate is about 1.63%
The insurance sector is considered one of the key contributors of the national economy for being
closely related to other sectors and maintains the stability and continuity of the activities of such
sectors. CMA is keen to stimulate the role of insurance in the Sultanate and boost its significance and
relevance to the national economy through supervision and regulation. The 2017 audited financial
statements indicate the contribution of sector in the GDP was 1.63% in 2017 compared to 1.8% in 2016.
Insurance premiums growth 0.3%.
Gross premiums RO 451.57 million in 2017
Gross direct premiums of insurance companies increased slightly to RO 451.57 million in 2017
compared to RO 450.24 million in 2016 . Direct gross premiums of general insurance have increased
to RO 390.20 in 2017 compared to RO 382.62 million in 2016. Direct gross premiums of life insurance
have decreased to RO 61.37 million in 2017 compared to RO 67.62 million in 2016.
Figure (1) Ratio of insurance premiums to the Sultanate’s GDP
Figure (3) Gross direct premiums and rate of change during the period 2009-2017
Figure (4) shows motor insurance branch demonstrates the highest percentage of the gross
premiums at 36% less than 2016 which was 37% followed by the health insurance at 32% higher
than 2016 which was 30%.
2010 2009

3. 4948 ANNUAL REPORT 2017
Capital Market Authority
ANNUAL REPORT 2017
Capital Market Authority
4%
9%
2%
3% 5%
9%
36%
32%
4%
4%
15%
3%3%
35%
10%
26%
2016 2017
2016 2017
52.02 %
55.05 %
70.10 %
66.23 %
56.53 %
57.46 %
National Insurers Foreign insurers
Total Change
3.03 % -3.87 %
4% Growth number of insurance policies in the 2017
The number of insurance policies (general and life) have increased in 2017 by 4% to 1.72 million policies
including 1.61 million general insurance policies and 0.11 million life insurance policies compared to a
total number of policies in 2016 at 1.66 million including 1.55 million general insurance policies and
0.12 million life insurance policies.
Table (1) Total Number of insurance policies issued by insurance companies (million)**
Insurers
General insurance Life insurance Total
2016 2017
Change
%
2016 2017
Change
%
2016 2017
Change
%
National Insurers 1.25 1.37 9% 0.03 0.03 11% 1.28 1.40 9%
Foreign Insurers 0.29 0.24 -17% 0.09 0.08 -11% 0.38 0.32 -16%
Total 1.55 1.61 4% 0.12 0.11 -6% 1.66 1.72 4%
** Change in ratios from the past year due to mergers of insurers in 2017 namely Muscat Insurance and Muscat Life to Muscat
Insurance and Arabian Insurance and Falcon to Arabian Falcon
Figure (4) Distribution of Direct Premiums of Insurance Branches (total) in 2017
Figure (5) Retention Ratio of Insurance Companies by Type
Retention ratio: 2017 retention ratio of insurers in Oman 57%
Retention ratio in 2017 was 57.46% compared to 56.53% in 2016. Audited financial data indicates
retention ratio for national insurance companies in 2017 was 55.05% compared to 52.02% in 2016.
Retention ratio for foreign companies dropped from 70.1% in 2015 to 66.23% in 2017.
Takaful Insurance:
9% Growth of Takaful Premiums in the Sultanate
Gross direct premiums of Takaful companies in the Sultanate have increased by 9% to RO 45.76
million in 2017 compared to RO 42.06 million in 2016 representing 10.13%% of the gross direct
premiums of the insurance companies. General Takaful business increased by 8% to RO 40.52
million compared to RO 37.68 million. General Takaful was 10.39% of the total general insurance of
all the companies of the sector. Gross direct premiums of Takaful companies for family Takaful have
increased by 20% to RO 5.24 million in 2017 compared to RO 4.38 million in 2016. Family Takaful was
8.54% of the total life insurance business of all the companies.
Marine
Property
Vehicles
Health
Marine
Property
Vehicles
Health
Life
Engineering
Liability
Other
Life
Engineering
Liability
Other

4. 5150 ANNUAL REPORT 2017
Capital Market Authority
ANNUAL REPORT 2017
Capital Market Authority
1
18.56%
10.71%
8.21%
6.31%
18.53%
10.13%
20.00%
18.00%
16.00%
14.00%
12.00%
10.00%
8.00%
6.00%
4.00%
2.00%
0.00%
Table (2) Summary of Gross Direct Premium, Claims Paid and Number of Policies of Takaful
Companies between 2016 and 2017
13
26
1 11 2 3 2 24
14
1 3
3 53 2
3 3
Licensing
insurance
agent
Renewal of
licenses of
insurance agent
Opening
branches
Licensing
insurance
company (Merger)
Products
Renewal of
license of
insurance broker
Licensing
insurance
broker
Cancellation
of insurance
agent
Shifting
branches
Renewal of license
of insurance
company
Cancellation
of insurance
company
Appointments
Approval of
Actuary
Change of
Name
Insurance
through banks
Approval of
Advertise-
ment
Total 164
General
Insurance of
Change
%
Total
%
Family
Takaful of
Change
%
Total
%
Total
of
Change
%
2016 2017 2016 2017 2016 2017
Perce-
ntage
Gross
Direct
Premium
37.68 40.52 8% 10.39% 4.38 5.24 20% 8.54% 42.06 45.76 9% 10.13%
Total Paid
Indemnities
18.54 54.14 192% 19.45% 2.08 2.37 14% 8.91% 20.62 56.51 174% 18.53%
Total
Policies
0.10 0.10 -0.3% 6.35% 0.00 0.01 85% 5.62% 0.11 0.11 2% 6.31%
Total
Commission
and
production
cost
2.79 2.32 -17% 8.34% 0.40 0.28 -31% 7.27% 3.19 2.60 -19% 8.21%
Total General
and Admini-
strative
Expenses
3.78 5.83 54% 10.16% 0.51 0.77 51% 18.12% 4.29 6.60 54% 10.71%
Total Assets 73.42 187.28 155% 23.54% 5.33 7.35 38% 2.90% 78.75 194.63 147% 18.56%
Total direct premiums
Total commission and
production costs
Total administrative
expenses
Total IndemnitiesTotal policies
Total assets
Figure (6): Direct premiums, indemnities, number of policies of Takaful
companies to the total of insurance companies in 2017
164 actions related to regulation and licensing insurance institutions
The Insurance Unit has issued 164 approvals in 2017 (Figure 7) below

5. 5352 ANNUAL REPORT 2017
Capital Market Authority
ANNUAL REPORT 2017
Capital Market Authority
Training and Omanization in Insurance Sector
Training
The insurance unit continued in 2017 , with the sanction of CMA’s management, execution of
Omanization policy coupled with training and qualification for the purpose of advancing the
knowledge, capabilities and skills of national cadres to enable them to take the helm of the industry
gradually through competence and efficiency. CMA’s policy is based on Omanization through enabling
the national cadres working for insurance companies and brokers in the technical and administrative
roles in the medium and senior levels rather than operational levels.
Twenty training programmes were executed with the participation of 468 employees of the insurance
sector. The insurance sector unit organized CII certification programmes in the College of Banking
and Financial Studies with the participation of 60 employees. After completion of FIT subject 34
employees passed the FIT and continued on FII (Level II).
Figure (8) 2017 Training Programmes
Omanization in the Insurance Sector
Table No. (3) shows that the number of the employees of the insurance companies, brokers and
agents at the end of 2017 was 2914 of which 1930 were Omanis in the various technical and
managerial roles in the insurance companies, brokers and agents comprising 66% of the employees
of the sector. The number of Omani employees working for national companies is 57% of the total
number of the employees of the sector. Omanization ratio in foreign insurance companies is 12% of
the number of Omanis working in the insurance sector.
Total enrollment in training programs during the year 2017 - 468
Tamkeen Meeting 150
Risk Management 31
Internal Audit Skills 21
Claims Management
& Settlement 33
Takaful Concepts and
Applications 20
Investment in Training
& Talent Management 30
Sales & Marketing
Skills Development 29
Insurance Brokerage
Skills 29
Executive Leadership 20
Administrative and
Technical Skills of
Insurance Agents 17
Underwriting Basics &
Applications-Salalah 27
Innovation and
Creative Thinking-
Salalah 16
Excellence in
Customer Service 33
Motor Insurance 25
Underwriting Policies
& Strategies
“ Advanced” 21
Reinsurance &
Applications 22
Non-life Insurance
Pricing 23
Financial Fraud in
Insurance Contracts 21
Marine Insurance 18
CII Certification in
collaboration with
CBFS 32

6. 5554 ANNUAL REPORT 2017
Capital Market Authority
ANNUAL REPORT 2017
Capital Market Authority
63 36 64
7 2 6
22 4 5
3 11 0
11 9 10
17 3 15
22 6 26
7 6 5
7 5 7
6 0 8
4 4 1
169
86
147
Musandam
Governorate
Al Buraimi
Governorate
Dhofar Gov-
ernorate
Insurance Companies
Insurance Brokers
Insurance agents
Al Wusta
Governorate
TotalInsurance Institutions
South Sharqiyah
Province
North Sharqiyah
Province
Al-Dhahirah
Governorate
Al-Dakhiliya
Governorate
Muscat
Governorate
Southern Batinah
Governorate
North Batinah
Governorate
Table (3) Number of Employees of Insurance Companies and Brokers
Number of
Employees
2016 2017
Omani Expatriate Total Omani Expatriate Total
Number
%oftotal
Number
%oftotal
Number
%oftotal
Number
%oftotal
Number
%oftotal
Number
%oftotal
National
Insurance
Companies
1079 58% 471 47% 1550 54% 1165 60% 497 51% 1662 57%
Foreign
Insurance
Companies
271 15% 119 12% 390 14% 239 12% 103 10% 342 12%
Insurance
Brokers
339 18% 254 25% 593 21% 353 18% 236 24% 589 20%
Insurance
Agent
171 9% 165 16% 336 12% 173 9% 148 15% 321 11%
Total 1860 65% 1009 35% 2869 100% 1930 66% 984 34% 2914 100%
Branches of Insurance Companies
The number of branches of insurance companies was 147 in 2017 dispersed in the various Governorate
of the Sultanate . This eases access and reach to the customers, increases collected premiums, widens
the customer base and results in increased insurance awareness in the community.
Figure (9) Distribution of insurance branches throughout the Sultanate during the year 2017