Regulatory Alerts2010-07-15
Added · Updated
Licensing of Insurance Broker Directive No. SIB/31/2010
Directive No. SIB/31/2010 establishes licensing requirements for insurance brokers, mandating that applicants be Ethiopian nationals or fully owned by them and that the Chief Executive Officer hold at least a diploma and eight years of relevant managerial experience. It requires brokers to maintain professional indemnity insurance with a minimum limit of Birr 1,000,000 or three times the annual general commission, whichever is greater, and imposes an investigation fee of Birr 550 and an annual renewal fee of Birr 1,000. The directive prohibits brokers and their related parties from holding equity in insurance or actuarial firms, mandates the submission of renewal applications within one month of expiry under penalty of Birr 500, and stipulates license cancellation for non-compliance or failure to renew within twelve months.