GCC’s Largest Independent Insurance Broker Says Trend Increasing Among National Couples Looking to Secure their Future Happiness
Bahraini newly-weds are increasingly looking at savings plans as a way of ensuring they are protected against future costs, such as inflation and their children’s educational needs, a leading financial services company said.
The Bahrain insurance market posted 8 percent annual growth in 2013, according to data from the Central Bank of Bahrain. Nexus Financial Services, the Bahrain arm of one of the GCC’s largest independent insurance brokers, said it is witnessing greater demand from Bahraini couples embarking on marriage than ever before.
“Marriage is the start of a journey for young couples and increasingly we are seeing that they want to be well prepared for whatever path that journey might take them on,” said Emanuel Lantzos, General Manager at Nexus Financial Services. “Newly-weds may not want to do things like start a family straightaway, but higher standards of education today mean they are more aware than ever before of the need to plan prudently for such future life choices. “
Bahrain had the second highest rate of inflation among GCC countries as of August, with price rises of 3.1 percent, below only Qatar, according to the GCC Statistical Centre. Housing and utility prices increased 5.4 percent.
According to Nexus, the most common savings plans for Bahrainis include bank deposit savings, co-operative savings plans, and more recently insurance-based plans, usually Takaful-based. Reasons for saving include higher standards of living, preparing for future education fees – with Bahrainis increasingly looking at sending their children abroad for third-level education, and topping up state pension provisions. In many cases, both partners in the relationship are working, further amplifying the need for an effective savings plan that could offer a high return on investment.
Nexus has recently added medical insurance advisory services to its portfolio in Bahrain. Medical insurance increased from BD 37.17 million in 2012 to BD 40.83 million in 2013, according to the Central Bank of Bahrain.
While Nexus is seeing encouraging signs of growing awareness among Bahraini nationals about the importance of saving, Lantzos said it was important to build on this trend.
“It is our responsibility to act as an impartial advisor to our clients and explain to them the importance of establishing a savings plan. When we deal with newly-wed clients we want to ensure that we are doing our best to help them invest in their own future happiness, but of course we want all our clients to make the best decisions they can. Their needs are our main concern,” Lantzos added.
Nexus is one of the largest and most respected independent financial firms of its kind in the GCC region. Since its establishment in Bahrain in 2006, the company has combined a strong understanding of the needs of the local market with international standards of service and support.
Nexus Group’s strategic partnerships and credible team of financial advisors has largely helped build its reputation as a trusted financial advisor in the region, which is bolstered by its rigorous consultant training program. Financial advisors at Nexus have extensive market knowledge, with the teams in Bahrain trained to meet the same high standards required by the Central Bank of Bahrain.