President Alvi Urges Expansion of Insurance Sector

President Dr Arif Alvi has emphasized the expansion of the insurance sector and the need to create awareness regarding the possible risks in insurance coverage. The President made these remarks during the visit to the Federal Insurance Ombudsman (FIO) Secretariat in Karachi.

The President, during his visit, appreciated the achievements of the FIO in resolving public grievances through amicable settlements of the insurance complaints. He also appreciated the monetary relief worth Rs. 2 billion provided by the Ombudsman in the last 2 years. He also recognized a threefold increase in complaint registration.

Dr Alvi further said that there is a great need of strengthening the insurance sector. In this regard, he stressed upon the participants to take steps towards enhancing the contribution of the insurance sector to the GDP of the country. He further said that public sector insurance companies should also be brought under the purview of the Federal Insurance Ombudsman.

Speaking on the occasion, the President advised the Ombudsman to call a convention of the insurance companies as it will go a long way in showcasing the benefits of insurance coverage. He further said that Ombudsman should widely publicize its landmark decisions through efficient media coverage as it will augment the confidence of the people in the insurance sector.

Earlier, the President was briefed about the proposed legal amendments regarding the jurisdiction over public sector insurance companies. The Ombudsman further briefed that the outreach of the Ombudsman was extended after the establishment of regional offices at six stations.

While referring to the Federal Shariat Court’s decision of countrywide adoption of the Takaful Insurance till 2030, the President stressed that the industry should strive to adapt to the Sharia law-compliant mode of insurance within the time frame.

The President also urged the participants to expand into the agricultural insurance as well, as it is a huge untapped area that needs to be catered to.

The meeting was attended by the officers of the Federal Insurance Ombudsman and the heads of different insurance companies.