The world’s first insurance broker offering Shariah law compliant Takaful or Re-Takaful commercial risk solutions in the UK has teamed up with Chartis.

GNL Insurance – a joint venture between Shariah compliant investment bank Gatehouse Bank plc and Lloyd’s broker Paul Napier Ltd- has launched. It

The broker, which will offer premium Islamic insurance Takaful and Re-Takaful commercial risk solutions grounded in Islamic law, has formed a partnership with Chartis UK.

GNL Insurance embarked on the initiative after identifying a notable absence of Takaful capacity for commercial assets held by Shariah compliant financial institutions.

Gatehouse Bank has completed more than £200 million Shariah compliant property acquisitions but did not, until now, possess the option to undertake Shariah compliant, commercial risk protection.

GNL will initially target real estate, trade finance and financial institutions on a worldwide basis.

GNL Insurance CEO Richard Bishop said: “London has developed its strength as a leading western centre for Shariah compliant finance, with its regulatory framework, infrastructure and attractiveness as a location for direct investment by Shariah investors.

“We are pioneering genuine product development with leading global risk providers and the approval of Shariah scholars. We set an ultimate objective, as an FSA regulated entity, to see GNL Insurance deliver a price competitive, quality Takaful offering to the market. We are pleased to begin our offering to the market working in partnership with Chartis UK.”

Chartis UK executive director for commercial lines Jason Harris said: “We have been looking at the Takaful market for some time particularly with respect to large commercial risks. Working with GNL Insurance allows us to leverage the capability Chartis has built up in Bahrain allied to our strengths in commercial insurance to offer Shariah compliant products to a market which has been expanding in the UK market in recent times.

“It’s a good example of how we are able to innovate to offer insurance product and capacity in to a marketplace that we feel has been underserved in the UK.”