Central Bank of Jordan Decision on Non-Exclusive Insurance Agents and Defined Benefit Contracts

In the Name of Allah, the Most Gracious, the Most Merciful

[Logo of the Central Bank of Jordan]

Number: 17 / 2 / 15868
Date: 25 / 2 / 1445 AH
Corresponding to: 10 / 9 / 2023 AD

Dear Respected Insurance Agents,

Subject: Non-exclusive legal entity insurance agent's dealings with defined benefit and coverage contracts

Based on the provisions of paragraph (b) of Article (109) of the Insurance Activities Regulation Law No. (12) of 2021 and paragraphs (c) and (d) of Article (4) of the Instructions for Licensing Insurance Agents and Regulating Their Activities and Responsibilities No. (10) of 2023, I hereby decide the following:

A) A non-exclusive insurance agent-production and a non-exclusive insurance agent-issuance shall not be granted a license in the following insurance branches:

1. Locomotive and railway bus insurance.
2. Aircraft insurance.
3. Ship insurance.
4. Cargo insurance during transit.
5. Aircraft liability insurance.
6. Ship liability insurance.
7. Life installments insurance.
8. Investment-linked insurance.
9. Permanent health insurance.
10. Management of collective pension funds.

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Central Bank of Jordan

B) A non-exclusive insurance agent-production and a non-exclusive insurance agent-issuance shall conduct their activities for insurance contracts whose premiums do not exceed the following:

1. The annual premium for an insurance contract shall not exceed 500 Jordanian Dinars.
2. The premium for an insurance contract with a duration of less than 3 months shall not exceed 150 Jordanian Dinars.
3. The premium cap for an insurance contract with a duration ranging from 3 months to less than one year shall be calculated as a proportion of the annual cap based on the duration.

C) The provisions of this decision shall be effective as of 2023/9/1.

[Signature]
Governor
Dr. Adel Al-Sharkas

Copy to: Dear Respected Insurance Companies

Form (1/1/1)