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Hosni Mubarak’s resignation as president of Egypt and the subsequent military takeover have brought a measure of stability to the nation, but uncertainty about the future and potential flashpoints throughout the region have insurers casting a wary eye on political risk coverage.

In an e-mail, Elizabeth Stephens with Jardine Lloyd Thompson Group noted: “Instability and unpredictability in Egypt is a deterrent for underwriters. A protracted government change and a radical departure in governance will worry markets in the context of foreign investment, particularly in the oil and gas sectors where the insurance market risk in this area is in the billions.”

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