Shaheen Iqbal Reveals How The Insurance Industry Works

In this episode of The Dollar Diaries, Shaheen, CFO and regional controller for Marsh McLennan in the Middle East, delves into the multifaceted nature of her role, balancing financial reporting, strategic growth, and board governance across diverse entities in the UAE and Saudi Arabia. She emphasizes the evolution of the CFO role from a traditional focus on financial closing and reporting to a strategic partner actively involved in business expansion and new product development. Shaheen shares her transition from audit and advisory roles into corporate leadership, highlighting the complexities of managing investor relations and regulatory compliance in large multinational insurance organizations.The discussion offers a deep dive into the insurance industry, explaining its intricacies beyond premium collection and claims settlement. Shaheen unpacks the role of risk appetite in underwriting and the critical function of reinsurance as insurance for insurance companies, which helps mitigate large-scale risks through global risk distribution. She touches on regulatory challenges in emerging markets such as Saudi Arabia and the UAE, the importance of solvency regimes like Solvency II for standardizing risk management, and the delicate balance regulators try to maintain between protecting consumers and fostering innovation. Additionally, the episode explores the nuances of Sharia-compliant insurance products and investment strategies, acknowledging the complexity of aligning conventional insurance models with Islamic principles and the growing interest in Sharia-compliant wealth management in the region.The episode concludes with an exploration of how technology, particularly artificial intelligence, is transforming the insurance and consulting sectors within Marsh McLennan. Shaheen describes the group’s cautious yet enthusiastic adoption of AI tools to improve operational efficiency, risk modeling, and client advisory services, highlighting internal pilots primarily happening in larger markets. She stresses the necessity of aligning AI investments with clear business problems to avoid wasted resources and the vital need to enhance technological literacy among finance teams to fully leverage these innovations. Ultimately, Shaheen underscores that embracing continuous learning and adaptation to technological advancements is essential for sustaining growth and competitiveness in today’s rapidly evolving business landscape.