(Ecofin Agency) - The agreement is renewed for four years, offering comprehensive insurance services in the Egyptian market that offers strong growth potential for foreign investors.  

Insurer Allianz Egypt recently renewed its bancassurance agreement with the local subsidiary of Crédit Agricole, a French banking group, for a further four years. With this extension, the two partners aim to offer a comprehensive range of insurance services and solutions via the bank's numerous distribution channels.

The insurer also aims to expand its customer base, while offering the best insurance services to Crédit Agricole's customers. Ayman Hegazy, Managing Director of Allianz Egypt, said: "Through this partnership, we aim to offer and manage all financial and insurance services relating to life, property, and casualty insurance under one roof, integrating citizens of different segments and age groups to achieve financial inclusion, in addition to increasing the company's market share and produce a stable financial performance for the non-banking financial industry.”

For his part, Jean-Pierre Trinelle, Chairman and CEO of Crédit Agricole Egypt, commented: "At Credit Agricole Egypt, we are committed to delivering tailored solutions that meet the evolving needs of our valued customers. Hence, the bank has been keen to provide the necessary global financial and protection services that our customers seek, and this has enabled us to maintain a strong position in the realm of Bancassurance."

The Egyptian bancassurance market has grown significantly since 2011 when some regulatory constraints were lifted. Banks and insurers can now offer their services directly to customers, enabling both financial sectors to generate more revenue without having to share it with a third party.

Allianz is not the only major player to see Egypt as a market with high growth potential for insurance services. In 2022, Axa, another major insurance group based in France, signed a five-year agreement with the Egyptian Arab African International Bank.

According to official figures, the Egyptian insurance market generated nearly $3 billion in written premiums in 2022. This figure suggests room for growth, given Egypt's gross domestic product (GDP) estimated at $404 billion that same year, equivalent to an insurance penetration rate of around 0.74%.