Clal Insurance Chairman Calls Israeli Insurers Pillars of National Resilience Amid Crisis

Chaim Samet, Chairman of Clal Insurance and Finance, emphasized the crucial role of Israel's five major insurance companies as pillars of national resilience during the COVID-19 pandemic and recent war. Speaking at the Calcalist, Bank Leumi, and Clal National Economic Conference, Samet highlighted that these companies have demonstrated optimal management and are a strength for the country. Clal manages 450 billion shekels in members' funds and invests in numerous private projects, offering opportunities for government involvement.

Regarding social responsibility during the war, Samet recounted how Clal promptly contributed financially, including a proposed government-backed 1 billion shekel investment for rehabilitating the Gaza border area, which was ultimately replaced by a government initiative. Clal also supported uninsured individuals and funded accessibility projects for disabled people at beaches, addressing trauma patients' needs.

On managing vast funds amid uncertainty, Samet stressed the importance of responsibility, caution, and corporate governance to ensure long-term returns. Clal has invested in local entities yielding high returns and maintains a structured investment approach.

Discussing the small banks reform, Samet noted that Clal, as owner of MAX, is evaluating regulatory demands, which currently offer too short a protection period. MAX will become a bank only if the cost-benefit balance is favorable, likely not in the near term.

When asked about Israel's insurability, Samet described it as a risk management challenge but noted that Israel had a favorable risk rating before the war, suggesting the country could be a very good insurance client.