Offered with Cobalt Underwriting (a specialist Shariah compliant managing general agency), the policy is designed to address risks including named perils, death, theft, infertility and permanent disability.
XL Group said it is addressing a growing need for Shariah compliant Equine insurance coverage, considering that horses are often moved around the world to participate in a wide variety of events.
“Today, the movement of horses is supported by a highly specialized shipment and logistics industry,” Guy Morrison, chief underwriting officer, Equine, at XL Group, said in prepared remarks. “But travel, with varying climate and handling conditions, exposes these animals to a raft of risks.”
Morrison noted that owners, “especially those of Arabian horses, have not had the opportunity to insure their treasured animals in a Sharia compliant manner.”
Vincent Vandendael, Lloyd’s director of global markets, said in a prepared statement that Lloyd’s offering its first Shariah compliant coverage reflects “positive progress.”
Shariah compliant, or “Takaful” insurance products, “are an important offering to our customers and business partners in a growing number of markets around the world,” Vandendael said.
An increasing number of property/casualty insurers and brokers said they see the need to grow their Shariah compliant insurance options. Last month, for example, a report noted that AIG is considering offering Shariah compliant reinsurance in Indonesia within two years, which has a fast-growing insurance industry.
Last June, Willis Group Holdings announced it would start offering the first Shariah compliant commercial real estate insurance in the U.K., with security provided by QBE Insurance (Europe) Ltd. and XL Group.