The decision requires that all data be registered on the electronic linkage platform in real-time. Companies may register data on the platform no later than June 30, 2025, within a maximum of five days from the date the company takes action.
Regarding historical company data, insurance companies
are required to register all records, documents, and compensation supplements
in effect from January 1, 2024, until the effective date of the decision,
within three months of the effective date. They are also required to register
all insurance product contract forms, amendments, and supplements approved by
the Authority before January 1, 2025, within a period not exceeding the effective
date of the decision.
According to the decision, insurance companies are
obligated to include the national number for individuals and the tax
registration number for companies for beneficiaries of compensation, as well as
to include the national number for all insured clients and insured persons when
issuing documents, and to include the national number and tax registration
number for the entities contracting with them for collective contracts.
The decision permitted companies with regard to
historical data that did not have the national number or tax registration
number for the insured to set a code number to complete the registration
process until the company includes the relevant data for the insured within a
period not exceeding six months from the effective date of the decision, with a
monthly report submitted. The Authority is responsible for the registration
work carried out by the company. The company must also submit a monthly report
to the Authority on the registration process.
The Financial Regulatory Authority (FRA) issued
Decision No. 19 of 2023, obligating insurance companies to provide the
necessary technological infrastructure to link their databases with the FRA's
database. This enables the FRA to study and analyze all indicators that enable
it to make regulatory and development decisions supported by updated
indicators. This is in light of the relative importance of the insurance sector
and its role in supporting the gross domestic product (GDP) by contributing to
managing risks to economic assets, making it one of the most prominent tools
for supporting the stability of these sectors and the continuity of their
activities.
For his part, Dr. Mohamed Farid, Chairman of the FRA, emphasized the importance of insurance companies undertaking continuous development of the technological infrastructure necessary to link their databases with the FRA's database. This is one way to develop oversight and regulatory frameworks to facilitate electronic monitoring and oversight processes, which accelerates the pace of work required to inspect companies through rapid data availability. This enables the FRA to have full access to databases more accurately and efficiently and take the necessary action.
Farid added that developing the technological infrastructure of insurance companies increases operational efficiency and facilitates the issuance of insurance policies, contributing to the speedy completion of compensation payments, thus strengthening customer confidence in the insurance sector. He noted that financial technology helps insurance companies with electronic marketing, reducing distribution costs, and attracting new customers to achieve growth targets in the insurance sector at all levels.