Insurance firm XL Group and Cobalt Underwriting have introduced first Shariah compliant product, which will be available through Lloyd’s of London.

The cover is an Equine product that has been developed to respond to named perils, mortality, theft, infertility and permanent disability.

Cobalt Underwriting CEO Richard Bishop said: "We are delighted to be able to offer the first Lloyd’s Shariah compliant product and provide our clients with access to secure Shariah compliant insurance coverage in what is a very specialised and exciting market.

XL Group chief underwriting officer Guy Morrison said: "Today the movement of horses is supported by a highly specialised shipment and logistics industry. But travel, with varying climate and handling conditions, exposes these animals to a raft of risks."

According to XL Group, horses are frequently moved across the globe participating in a full calendar of events and most of them are highly prized, crowd drawing Arabian stallions coming from long and distinctive blood lines.

Cobalt Underwriting is the specialist Shariah compliant managing general agency, while XL Group’s insurance firms provide property, casualty, professional and specialty insurance products across the globe.