News
Ministry Takes Ethical Stance On Insurers
| March 28, 2010 by Rob Morris
New resolution introduced to regulate industry and promote best practice.
The UAE insurance industry is one step closer to becoming fully regulated after the government issued a new rules and ethics resolution.
Sultan bin Saeed Al Mansouri, minister of economy and chairman of the Insurance Authority, released the resolution to boost competitiveness and improve performance levels among insurers.
Under the resolution, policyholders should receive written, clear information about their cover, while insurance companies must be technically knowledgeable and capable of providing data when necessary.
Customers should also receive factually correct information and honest advice from insurers about the size of their coverage.
Insurance companies are expected to ensure they act in goodwill with practices that meet legal provisions.
Ignoring requests to take out or renew insurance policies and discriminating against customers on terms, conditions and pricing for anything other than technical reasons is forbidden under the resolution.
Insurers have to abide by Insurance Authority’s prices and can only make changes once approved by the industry body.
Deputy director general of the Insurance Authority, Fatima Ishaq Al Awadhi, said the new rules would make the industry more technically sound.
