Arab Insurance Group (Arig) has confirmed that it has pulled out of the Burmese insurance market. The company’s involvement with Burma was exposed one month ago by the Burma Campaign UK’s report, Insuring Repression. Last week it was announced that another insurer, XL, had withdrawn from the market.
“This is excellent news, Arig have acted responsibly in pulling out of Burma,” said Johnny Chatterton, Campaigns Officer at the Burma Campaign UK. “The time has come for governments to take action and shut down the regime’s financial lifeline. Today we reiterate our call for the UK government to take the lead and push for EU wide targeted financial sanctions that stop insurance companies helping to finance the military junta”.
In a company statement Arig said: “After a review of the current situation Arig has taken the corporate decision to refrain from renewing any of the isolated risks previously written in Myanmar”.
Unlike the United States of America, the EU does not have any sanctions on the insurance industry. This omission allows EU insurers to continue to provide insurance and reinsurance to companies that fund the Burmese junta. While some of the world’s leading insurance companies have now taken the decision to stop providing insurance to Burma, there is still no EU policy to prevent European insurers providing insurance services to Burma.
Lloyd’s of London cite the lack of sanctions as the chief defence for the actions of their members who continue to be involved with Burma. Three members of the Lloyd’s market are on the Insurance Dirty List, Catlin, Atrium and Tokio Marine. There are 14 companies on the list.
For more information contact Johnny Chatterton +44 (0) 20 7324 4714
The report, Insuring Repression, is available here:http://www.burmacampaign.org.uk/insurance.php