UAE Insurance LawCabinet Resolution No. (7) of 2019 Regarding Administrative Fines Imposed by the Insurance Authority

Article (1) Definitions In application of Provisions of this Resolution, the following words and phrases shall have the meanings assigned to each of them, unless the context requires otherwise: State : The United Arab Emirates Authority : Insurance Authority established by virtue of the Law. Board : The Board of Directors of the Authority. Director General : Director General of the Authority.

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Cabinet Resolution of 2019 Regarding Administrative Fines Imposed by the Insurance Authority 2 Company : The insurance company established in the State and the foreign insurance company licensed to practice insurance activity in the State either through a branch or through an insurance a…

Article (2) Scope of Application The provisions of this Resolution shall apply to any person, company or any of the insurance related professionals in the event of committing any violation referred to in the table attached thereto.

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Article (3) Violations and Penalties 1. Without prejudice to any penalty or action stipulated by the Law and other relevant legislation, the Authority may impose the administrative fines listed out in the Table attached to this Resolution on any person who commits any of the violations contained therein. 2. The amount of the administrative fines stipulated in the Table referred to in Item (1) of this Article shall be doubled in the event of repeated violation within one year as of the date of the last violation not exceeding (2) million AED.

Article (4) Grievance 1. Any stakeholder may submit a grievance to the Board against any decision issued pursuant to the provisions of this Resolution, provided that the grievance shall be submitted within a period not exceeding fifteen (15) days as of the date of being notified him of the decision grieved against. The grievance shall be substantiated and accompanied by all supporting documents in accordance with the procedures determined by the Board. 2. The Board shall decide on the grievance in accordance with the procedures it shall issue within a period not exceeding sixty (60) days as of the date of its submission.

Article (5) Collecting Administrative Fines The Authority shall collect the administrative fines imposed in accordance with the provisions of this Resolution as per the means determined by the Ministry of Finance.

Article (6) Issuance of Executive Resolutions The Board shall issue the resolutions necessary to implement the provisions of this Resolution.

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Article (7) Amendment of the Fines Table The Table attached to this Resolution shall be considered an integral part thereof. The Cabinet may make any amendment to the administrative violations and fines contained therein, by adding, deletion or amendment.

Article (8) Repeals Any provision contrary to or inconsistent with the provisions of this Resolution shall be repealed.

Article (9) This Resolution shall be published in the Official Gazette and shall come into force three months after the date of its publication. Mohammed Bin Rashid Al Maktoum Prime Minister On: 29 Rabi’ II, 1440 H Corresponding to: 6 January 2019 A.D

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Cabinet Resolution of 2019 Regarding Administrative Fines Imposed by the Insurance Authority 5 Annex 1 Table attached to the Cabinet Resolution No. (7) of 2019 Concerning Administrative Fines Imposed by the Insurance Authority Serial No. Violation Value of administrative fine in dirhams 1 Non-compliance of the company with fulfilling the compensation set forth in the insurance contract upon accident occurrence or occurrence of i…

Article 62 of law to the actuarial report on the result of examination and evaluation of the financial position 10 thousand 74 The personal insurance and fund-raising company direct or indirect deduction of any part of its funds related to its obligations arising out of insurance policies to be divided as profits on shareholders or policies owner or to pay any amount other than its obligations arising out of insurance policies issued thereby. 100 thousand 75 The personal insurance and fund-raising company issuance of saving bonds for more than 30 years. 25 thousand 76 The personal insurance and fund-raising company issuance of saving bonds for 25 years or above, which refund value after the…