Regulatory Alerts2019-10-09
Insurance Authority Board of Directors’ Decision No. (49) of 2019 Concerning Instructions for Life Insurance and Family Takaful Insurance
The Insurance Authority issued Decision No. (49) of 2019 to regulate life insurance and family Takaful insurance operations in the UAE by establishing strict commission limits and disclosure requirements. The regulation caps commissions based on product type, mandates a minimum 30-day free look period for policyholders, and prohibits practices such as policy churning and the solicitation of personal documentation for illustrations. It further requires companies to ensure transparent fee structures, prevent cross-subsidization across distribution channels, and maintain robust internal risk management controls to protect consumer rights.
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