Chairman of the Authority

General Authority for Financial Supervision Board of Directors Decision

No. (193) of 2018 dated 31/12/2018
Regarding the conditions, rules, and procedures for licensing and registration to practice the activity For Survey and Damage Assessment Experts and Consulting Insurance Experts Companies (Legal Entity)

The Board of Directors of the General Authority for Financial Supervision

Having reviewed Law No. (159) of 1981 on Joint Stock Companies, Limited Liability Companies, and Single-Person Companies and its executive regulations;

And Law No. (10) of 1981 on Supervision and Control of Insurance in Egypt and its executive regulations;

And Law No. (10) of 2009 on Regulating Supervision over Non-Banking Financial Markets and Instruments;

And Presidential Decree No. (192) of 2009 Issuing the Statute of the General Authority for Financial Supervision;

And Board Decision No. (53) of 2018 Regarding Licensing Controls, Fees, and Share Ownership Rules for Companies Operating in Non-Banking Financial Activities;

And Approval by the Authority's Board of Directors in its session dated 31/12/2018.

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Articles

(Article One)

Obtaining In-Principle Approval for Company Establishment

Without prejudice to the establishment and licensing requirements for companies wishing to practice the activity of survey and damage assessment experts or consulting insurance experts (legal entity) in accordance with Law No. 10 of 1981, and in light of the market's need for new companies, the company must apply to the Authority for in-principle approval for establishment, accompanied by the required data and documents as follows:

(1) The draft initial contract and company articles of association, specifying:

• It shall take the form of an Egyptian joint stock company.
• The company's business scope: (Survey and Damage Assessment Experts / Consulting Insurance Experts) as applicable.

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(Article Two)

Licensing and Registration Procedures with the Authority's Register

The company registration application shall be submitted on the form prepared by the Authority, signed by the authorized representative, accompanied by the following documents:

• The initial contract and articles of association, certified by the competent administrative authority.
• An official extract from the commercial register confirming the company's registration.
• A document confirming the designation of the legal representative of the legal entity, who must be currently registered with the Authority as an individual (Consulting Insurance Expert / Survey and Damage Assessment Expert) as applicable.
• A declaration from the company's legal representative that no modifications have occurred to the data and documents on which the company was established, or to note any differences in case modifications have occurred to these data and documents.
• A statement listing the names of the experts practicing the activity through the company (as applicable).
• Submission of the consolidated declaration prepared by the Authority for this purpose.
• Submission of a professional liability insurance policy covering civil liability towards third parties with a liability limit of 2.5 million EGP per year (renewable annually).
• A statement specifying the insurance branch(s) to be practiced (for survey and damage assessment experts companies).
• The document proving payment of the registration fee and prescribed service charges.
• The company's registration shall be issued by a decision of the Chairman of the Board of Directors of the Authority.

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(Article Three)

Cancellation of Registration

The registration shall be cancelled by a decision of the Board of Directors if the company loses any of the registration conditions, upon its request, or if it is proven that it submitted incorrect data due to willful misconduct or gross negligence, or due to repeated failure to comply with the technical standards necessary for practicing the profession.

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(Article Four)

Re-registration

A cancelled company may apply to the Authority for re-registration, signed by the company's legal representative, accompanied by the same documents stipulated in Article Two as outlined above.

The company shall retain its original registration number if it applies to the Authority for re-registration within three years from the date of the cancellation decision.

The decision to re-register the company shall be issued by the Chairman of the Board of Directors of the Authority in light of the justifications submitted for this purpose.

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(Article Five)

Registers

A special register shall be established at the Authority for registering companies licensed to practice the activity (Consulting Insurance Experts / Survey and Damage Assessment Experts) as applicable, containing all basic company data (registration number – registration decision – and its date – name – address – legal representative's name – capital data – shareholder structure – re-registration – communication level and investor relations).

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(Article Six)

Fees for Services, Registration, and Re-registration

• 5,000 EGP for reviewing and examining the application for in-principle approval for company establishment.
• 10,000 EGP for reviewing and examining the application for registration or re-registration.

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(Article Seven)

Compliance / Regularization of Status

Existing and registered survey and damage assessment experts and consulting insurance experts companies are committed to submitting applications to regularize their status in accordance with the provisions of these controls, within a maximum period of six months from the date of the Board of Directors' approval, which may be extended for a similar period.

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(Article Eight)

The competent departments of the Authority shall be responsible for monitoring the implementation of this decision within their respective areas of expertise.

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(Article Nine)

This decision shall be published in the Egyptian Gazette and on the Authority's official website, and shall take effect from the day following its publication in the Egyptian Gazette.

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Chairman of the Board of Directors of the Authority

Dr. Mohamed Omran

46076

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Smart Village, Building no. B-136, Giza
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Smart Village, Building B-136, Giza, Egypt
Postal Code: 12577
Tel.: +202 35345350 - Fax: +202 35370036 info@fra.gov.eg