The Supreme Committee for Delivery & Legacy (SC), the organisation responsible for delivering the infrastructure required for the 2022 FIFA World Cup™ Qatar, has awarded an insurance contract for capital expenditure works related to the construction of tournament stadia to the National Insurance Consortium (NIC), a six-member consortium of local Qatari national insurance companies.
Delegates from Qatar Islamic Insurance Company (QIIC), the lead organisation on this particular contract, and the other leading members of the NIC including Qatar Insurance Company, Qatar General Insurance & Reinsurance Co., Al Khaleej Takaful Group, Doha Insurance Co. and Al Koot Insurance & Reinsurance Co., attended the official ceremony at Al Bidda Tower, the SC’s HQ in Doha, Qatar, where the policy was formally handed over to the SC’s Secretary General Hassan Al Thawadi by Sheikh Abdullah Bin Thani Al Thani, Chairman of the Board of Directors at QIIC.
The procurement of the capital expenditure insurance contract was made under an Owner Controlled Insurance Program (OCIP) and provides Construction All Risk and Third Party Liability coverage for seven of the eight currently planned stadiums for the 2022 FIFA World Cup™, with the exception of the Khalifa International Stadium as the venue’s extensive refurbishment project is expected to be completed by Q2 2017.
The terms of the OCIP were obtained through a competitive bidding process in the international reinsurance market through the SC’s appointed broker, Jardine Lloyd Thompson (JLT), who was also selected through the same process. SCOR Global P&C of France, one of the largest reinsurers in the world, won the bidding and has assumed 20% of the risk. The remaining 80% has been distributed among the NIC members thereby creating a strong public-private partnership (PPP) consisting of a mix of international and local expertise, with the majority focused on local organisation participation.
SC’s Secretary General, Hassan Al Thawadi said during yesterday’s signing ceremony:
Awarding this capital expenditure contract to the National Insurance Consortium represents another significant project milestone as we progress towards 2022. We have always said that we will use the tournament as a catalyst to help further develop the State of Qatar, in line with the Qatar National Vision 2030, and agreements like today’s demonstrate that it is working to do exactly that as the NIC and this contract is largely focused on Qatar’s national insurance market and made up of local Qatari organisations. The placement of 80% of the risk to the NIC also demonstrates the SC’s and the State of Qatar’s full confidence in the organisations’ that make up the NIC and will help further cement the strong reputation Qatar’s national insurance market has regionally and around the world.’
Speaking on the occasion Sheikh Abdullah Bin Thani Al Thani, Chairman of the Board of Directors, QIIC, said:
We’d like to thank the Supreme Committee for Delivery & Legacy for their support and confidence in Qatar’s national insurance market and in particular this National Insurance Consortium. The consortium will further develop the local insurance market, and shall help boosting the national economy as well through maximum local retention of premium and risk. It also demonstrates best practice in enhanced public-private partnerships, which is in in line with the Qatar National Vision 2030.’
He further added:
We have a long history of delivering on our promises to our policyholders and are fully capable of meeting their expectations through our professionalism and balance sheet strength. We’d also like to thank Qatar’s Prime Minister, H.E. Abdullah bin Nasser bin Khalifa Al Thani, for his keen interest in the development of the local insurance industry and his guidance in helping Qatar’s national insurance companies play a larger role in the development of national economy.’
The ceremony was also attended by other the senior officials from the SC and the NIC including Naisamudheen S.A., Executive Manager Reinsurance, Qatar Islamic Insurance Co., Ahmed Rafee Al Emadi, Chief Executive Officer, Al Koot Insurance & Reinsurance Co., Ali Ibrahim Al Abdulghani, Chief Executive Officer, Qatar Islamic Insurance Co., Sheikh Saud Bin Abdulla Moh’d Jabor Al Thani, Chief Executive Officer, Al Khaleej Takaful Group, Ali S. Al Fadala, Senior Deputy Group President and CEO, Qatar Insurance Co., Bassam Hussein, Chief Executive Officer, Doha Insurance Co., Maurizio Colautti, Deputy Insurance CEO, Qatar General Insurance & Reinsurance Co. and Muhammad Ashraf Ali Siddiqui, Executive Manager Risk Management, Qatar Islamic Insurance Co.
The SC currently has eight stadium construction sites across Qatar, with seven venues being built from scratch for the 2022 FIFA World CupTM. The seven venues that are being built from scratch and included in the capital expenditure works insurance contract include: Al Wakrah, Al Bayt – Al Khor, Qatar Foundation, Al Rayyan, Ras Abu Aboud, Al Thumama and Lusail. Lusail stadium located in Lusail city will host the opening and closing games in 2022.
The NIC has also provided extensive national insurance cover to some of Qatar’s other leading development programmes, including Qatar Rail and Ashghal.
Visit Supreme Committee for Delivery and Legacy website for more information.