Life Insurance in Morocco

Life insurance is the second most important segment of the Moroccan insurance market, representing around 40% of premiums collected according to FMSAR. This versatile product serves multiple financial objectives: building medium-to-long-term savings, preparing a supplementary retirement, protecting loved ones in the event of death and optimising tax efficiency. With Morocco's pension system reform and rising life expectancy (77 years in 2026), life insurance is growing at a sustained rate of 8% per year.

Life insurance contracts in Morocco fall into three main categories. Dirham-denominated contracts (MAD funds) offer guaranteed capital with returns of 2.8% to 4.3% in 2026 depending on the insurer — Wafa Assurance and AXA post the best returns. Unit-linked contracts (equity OPCVM) delivered 8 to 15% return in 2024 but without capital guarantee. Takaful contracts (Sharia-compliant) are offered by Wafa Takaful, Takaful Al Akhdar and Takaful Umnia, with returns comparable to conventional contracts.

The tax advantage is a major asset of life insurance in Morocco. Premiums paid are deductible from taxable income up to 10% of gross income (article 28 of the General Tax Code). For an employee taxed at 38%, an annual contribution of 20,000 MAD generates a tax saving of 7,600 MAD. At maturity (minimum 8 years), capital gains are tax-exempt. In case of early redemption (after 4 years), only the gains portion is taxed at 15%. In the event of the insured's death, the capital is transferred to designated beneficiaries outside the estate, up to a 1,000,000 MAD exemption.

Wafir.ma simplifies comparison of life insurance contracts in Morocco. Our free tool analyses your objectives (savings, retirement, death cover), investment horizon, risk profile and tax bracket to recommend the most suitable contracts. Compare yields, entry fees (0% to 5%), annual management fees (0.5% to 1.5%) and guarantees of the 6 main insurers in full transparency.