Coface strengthens UAE presence with new DIFC insurance licence
- New company to cater to the region’s growing demand for protection against non-payment, insurance management and intermediation services
- DIFC-licensed Coface Credit Insurance GCC Limited and Coface Emirates Services Limited to create better trade credit environment for Middle East companies
- Coface is the first amongst top global credit insurance market players to get insurance licence in the DIFC
Coface, the worldwide leader in credit insurance, has obtained a new company licence from the Dubai Financial Services Authority (DFSA) to offer insurance management and intermediation services in the Dubai International Financial Centre (DIFC), strengthening its presence in the UAE through insurance services.
For nearly 70 years, Coface has been helping companies sustain wealth creation worldwide. The Coface Group, which has more than 4,500 employees in 67 countries, secures the trade receivables of its 40,000 client companies in over 200 countries. In close partnership with the leading GCC-based insurance players and export credit agencies, Coface has been advising companies at every stage of their business life cycle. This enables businesses to anticipate and mitigate risks as well as make the right decisions.
Under the newly formed Coface Credit Insurance GCC Limited, the company will provide insurance management services to support its insurance partners in the region, offering innovative coverage to protect trade receivables from the risk of non-payment and reduce costs associated with working capital management.
Massimo Falcioni, Head of Middle East Countries at Coface, said:“The decision to establish a DIFC-licensed entity that offers insurance management and intermediation services reflects Coface’s long-term commitment to enhancing its presence in the Middle East. Well-established and diversified export and re-export trade ties between the UAE and the rest of the Middle East are crucial to the future of this region. The role of Coface in the region has become significant accordingly.”
The increase in insolvencies and payment defaults, due to the complex economic environment, has resulted in a rising need for GCC insurers to offer protection to SMEs as well as large corporate firms through credit insurance solutions, empowered by Coface’s reinsurance capacity. It is now possible for Coface’s partners in the GCC to leverage its insurance expertise in risk and commercial underwriting and claims management through the specialised team in the DIFC.
Arif Amiri, Chief Executive Officer of DIFC Authority, said: “The insurance sector is key to enabling the growth of the world’s fastest region, by managing risk and encouraging investment in key expanding sectors. We are delighted to see Coface obtain another licence and we welcome their second office in DIFC in recognition of the fact that the region’s insurance sector is set to grow by double digits until 2020 and that DIFC is the financial hub for the Middle East, Africa and South Asian region, providing a world-class platform for connecting the region’s markets with the economies of Europe, Asia and the Americas.”
“Companies are attracted by our clear, stable and international, best practice, regulatory and legal system, and growing cluster of nearly 100 insurance firms, as evidenced by our aim to further support the growth ambitions of our existing clients in line with our 2024 strategy. Coface as the worldwide leader in credit insurance is an important component of this growth and we hope DIFC will help them expand their business portfolio and access new market,” Amiri added.
Coface holds an information database on 80 million companies worldwide, including the Middle East, with regular updates on payment behavior, financials and country risks. It has been present as Coface Emirates Services Limited in the UAE since 2007, offering clients its vast knowledge on the GCC trade and export market. Today, Coface Emirates Services monitors a database of more than 33,000 companies, and provides credit opinions and sector analysis to banks, insurance partners, government institutions and companies in the GCC. The existing company will continue to focus on credit management consultancy and credit opinions, in addition to a newly licensed service.
PROJECT MANAGER – MARKETING & COMMUNICATION
Coface Emirates Services Limited
DIFC, Emirates Financial Towers, South Tower
7th Floor, Office # 701, P.O. Box: 506598, Dubai, UAE
Tel: +971 4 30 99 100