UAE – Procedures against insurers not complying with competition laws
Monday, 05 16 2016, Category: Insurance and Reinsurance, Country: U.A.E
H.E. Ibrahim Obaid Al Zaabi, Director General of the Insurance Authority expected the insurance market to grow by 10.4% in order to reach AED 37 billion and he hoped the performance of the market to improve this year. However, he expected a better improvement during year 2017. He indicated in an interview with “Al Khaleej” that the performance of insurance companies will differ greatly from one company to another during year 2015 where some companies achieved profits whereas others posted losses due to strong competition and inadequate pricing rules.
He said that that the Insurance Authority is monitoring the market and will take action against companies which do not implement the technical and financial rules in the competition in order to protect the rights of the stakeholders of these companies and protect shareholders.
Mr. Zaabi said that the Insurance Authority has issued technical, financial, and investment rules which aim at limiting losses and forcing companies to adjust their situations.
Source: Al Khaleej