Qatar Reinsurance Co. Ltd. is suspending underwriting new and renewal business for facultative lines in Dubai, a move somewhat driven by a lack of "rating adequacy" in the business, The Insurance Insider reported.
Qatar Re has faced difficulties in writing the portfolio profitably considering that margins in facultative lines are highly compressed. The move also reflects the capabilities in these lines of other parts of the parent company, Qatar Insurance Co. SAQ, according to the report.
Some staff in Dubai have reportedly departed because of the restructuring. However, the exact number of the staff that could leave is unknown, the news outlet reported.
