UAE – Imposing high fees on life insurance
Thursday, 11 17 2016, Category: Insurance and Reinsurance, Country: U.A.E
The Insurance Authority in the country showed that the “reports submitted by traditional insurance and Takaful companies show that high expense/charges were imposed on life insurance policyholders as well as Takaful contributors. This decreased the value of the insurance contract especially in the first years of the contract. Additionally, few disclosures are implemented, which do not meet international best practices.
In a memo issued by the Authority yesterday, of which “Emarat Alyoum” received a copy it said “that there was a large number of complaints of policyholders who said that they do net get any value if their contract is canceled in the first years”.
The Authority mentioned that “on this basis it plans to implement specific procedures in order to improve life insurance and family Takaful regulation in the country”.
Source: Emarat Al Youm