Regulatory Alerts2017-01-01
Circular No. (2) for the Year 2017 Regarding Advertising Guidelines for Insurance Products of Insurance Companies and Cooperative Insurance Associations
The Egyptian Insurance Authority issued Circular No. (2) of 2017 to enforce advertising guidelines for insurance companies and cooperative insurance associations. The directive mandates that all promotional materials, including printed, audio, written, and brochure formats, must strictly adhere to accuracy, clarity, and full disclosure standards as stipulated in Article (48) bis (1) of the Executive Regulations of the Supervision and Control of Insurance Law. Furthermore, it requires these entities to submit all advertising samples to the Authority for mandatory pre-publication review to ensure regulatory compliance and protect consumer trust.
Circular
No. (2) for the Year 2017 dated: 9/7/2017
Regarding Advertising Guidelines for Insurance Products of Insurance Companies and Cooperative Insurance Associations
In light of the Authority's emphasis on the importance of achieving transparency and clarity regarding all information related to the services provided by entities operating in non-banking financial activities to their clients, and pursuant to Article (48) bis (1) of the Executive Regulations of the Supervision and Control of Insurance Law in Egypt No. (10) of 1981, which stipulates the controls insurance companies must observe in advertising, promotion, and marketing materials for their insurance products and activities to ensure accuracy, clarity, and appropriate disclosure, as well as the Authority's authority to request submission of advertising samples for review prior to publication, this directive is issued to implement the principles of disclosure and transparency, affirm the soundness of insurance practices, and build trust with clients dealing with these companies.
And whereas it has been noted that some insurance companies and cooperative insurance associations are advertising their insurance products in a manner that does not achieve the full and required clarity according to the requirements of Article (48) bis (1) of the aforementioned Executive Regulations.
Therefore, the Authority emphasizes the obligation of insurance companies and cooperative insurance associations to comply with the following:
- Observing all requirements for accuracy, clarity, and disclosure when preparing advertising, promotional, or marketing materials for their products.
- Submitting all advertising samples related to their insurance activities, whether (printed, audio, or written, as well as brochures), to the Authority for review prior to publication to ensure compliance with the requirements of Article (48) bis (1) of the Executive Regulations in this regard.
Head of the Central Administration Affairs, Head of the Authority Dr. Mohamed Hassan
46076
Smart Village, Building 136 - B, Giza Postal Code: 12757 Tel: 25345750 - Fax: 25370027
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