Best’s Market Segment Report: Algeria’s Insurance Market Primed

Demographic, economic and regulatory
developments in Algeria appear to bode well for the country’s insurance market, which looks
primed for growth, expansion, foreign investment and profitability, according to a new report
from AM Best.
In its new Best’s Market Segment Report, “Algeria’s Insurance Market Primed for Growth and
Expansion,” AM Best notes several of these potential drivers of growth help set Algeria’s
insurance segment apart from those of other countries in the Middle East and North Africa
(MENA) region, bringing advantages and challenges.
The report goes on to observe that Algeria’s insurance market continues to recover from the
contraction of premium volumes during the COVID-19 pandemic. While an insurance
penetration rate of less than 1% of gross domestic product (GDP) is still very low compared with
regional peers and the world average of 6.8%, it indicates that the market has potential to grow.
Nevertheless, AM Best notes that there remain obstacles and structural issues to be overcome for
the market to further develop. The absence of a risk-based solvency framework hinders effective
monitoring of the diverse risks insurers face as they grow their business volume, while the
cultural perception of insurance in Algeria remains poor: insurance is still often perceived as an
additional form of taxation by the population.
To access a complimentary copy of this market segment report, please
visit http://www3.ambest.com/bestweek/purchase.asp?record_code=352666.
Members of AM Best’s insurance ratings and analytics team will share their latest perspectives
on the reinsurance industry, trend observations in the Algerian insurance marketplace, and
discuss Best’s National Scale Ratings (NSR), during an upcoming market briefing taking place
in the African nation. The briefing is scheduled for Thursday, 10 April 2025, beginning at 10
a.m. (CEST) at the Hôtel El Aurassi in Alger Centre. For more information, please visit AM
Best’s Insurance Market Briefing – Algiers.
AM Best is a global credit rating agency, news publisher and data analytics provider
specialising in the insurance industry. Headquartered in the United States, the company
does business in over 100 countries with regional offices in London, Amsterdam, Dubai,
Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.
Copyright © 2025 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS

RESERVED.

View source version on
businesswire.com: https://www.businesswire.com/news/home/20250402229483/en/
Source: AETOSWire