Insurance Regulatory Unit Refers Three Insurance Brokerage Companies to the Public Prosecution
Referral of three insurance brokerage companies to the Public Prosecution and warning of four other companies for legal violations.
Translated by Qiyas from الوسط — Original source
As part of its ongoing efforts to strengthen oversight of the insurance sector and consolidate the principles of compliance with the laws governing it, the Insurance Regulatory Unit announced the referral of three insurance brokerage companies to the Public Prosecution. This action is part of the supervisory and legal measures taken to protect the rights of policyholders, beneficiaries, and market participants.
The Unit clarified that the referral of the three brokerage companies to the Public Prosecution is to take the necessary legal actions regarding alleged crimes attributed to them, based on the provisions of Law No. (125) of 2019 concerning the regulation of insurance, its executive regulations, and their amendments.
In the same context, the Unit issued warnings to four insurance companies due to violations of the provisions of the aforementioned law, its executive regulations, and related decisions. The Unit emphasized the necessity of rectifying the alleged violations to avoid suspension measures being taken against them in accordance with applicable legal frameworks.
The Unit stressed the obligation of all companies and entities under its supervision to comply with the relevant laws, regulations, and decisions. It reaffirmed its continued exercise of its supervisory role and the taking of necessary legal actions against any violations, ensuring the protection of market participants’ rights and enhancing levels of compliance and discipline in the insurance market.
In this regard, Mr. Talal Al-Muharbi, Director of the Legal Affairs Department at the Insurance Regulatory Unit, stated: “Protecting the rights of insurance policyholders, beneficiaries, and market participants is a fundamental priority for the Insurance Regulatory Unit. We strive to translate this priority into action by developing regulatory and supervisory frameworks, and issuing decisions and circulars that ensure the protection of all parties’ rights and enhance compliance with effective legislation.”
He added: “The Unit will not hesitate to take necessary legal actions against any entity proven to have breached its legal obligations or endangered the rights of market participants, in line with its responsibility to ensure the integrity of the sector and enhance confidence in the insurance system.”
The Insurance Regulatory Unit confirmed that these measures are an extension of its efforts aimed at establishing a more disciplined and transparent insurance environment, enhancing the effectiveness of supervision and compliance, and elevating professional and regulatory practices in accordance with global best standards and practices. This contributes to protecting the rights of policyholders and beneficiaries, and supporting the stability and sustainability of the insurance sector.
