Chapter Eight
The Registration and Authorisation of Insurance and Reinsurance Companies to Carry on Business
Article 29 - The company after being established shall submit an application form of registration and authorisation to the Authority to carry on business, accompanied by the following documents :
a) the certificate of the company's incorporation.
b) the documents which prove that the conditions specified in article 31 of this Act have been complied with
c) a certified copy of the initial contract of the company.
d) a certified copy of the memorandum of association of the company.
e) a certificate issued by one of the banks registered at the Central Bank of Egypt proving that the company has deposited in A.R.E. an amount not less than L.E. 500,000 for each class of insurance it intends to carry on and not exceeding L.E. 3 million for all these classes. The company may not dispose of any of these funds without the Authority's Consent.
f) registration fees amounted to L.E. 2000 for each class of insurance which the company intends to carry on.
g) the policies forms issued by the company for each class of insurance the company applied to obtain authorisation to transact and the benefits, restrictions, rates and conditions of these policies.
If the company shall carry on one of the transactions specified in article (1) of this Act, these policies should be accompanied by the following documents
1 - a certificate from one of the actuaries registered at the authority that the bases of rates of these transactions, benefits and restrictions granted by the policies are sound and applicable.
2 - a schedule specifying the surrender value or reduction provided that it must be provided for in each of the mentioned policies.
i) reinsurance arrangements and its type.
j) any other documents required by the board of directors of the Authority.
Article 30 - The chairman of the Authority shall issue a decision of the company's registration and authorisation to carry on business.
The decision shall be published in Al Waka'a Al Misryah at the expense of the company and the Authority shall register the company in its prescribed register.
The company ray not begin to carry on business unless it has been registered and authorised to transact its business, as well as it may not be allowed to carry on any class of insurance other than the authorised classes. Any contract concluded contrary to the above mentioned is null and void. This annulment is not argument against the insured and the beneficiaries unless it is proved their bad faith.
Article 31- The board of directors of a company must include two experts in the field of insurance provided that one of them will be responsible for the executive management and have the Egyptian nationality.
The manager who is responsible for underwriting, claims settlement, reinsurance and investment transactions must have experience in the fields of insurance, reinsurance and investment accordingly.
The company must notify the chairman of the Authority with the decisions issued concerning the appointment of the board members and those who are responsible for the executive management and any other related information, within thirty days from the date of issuing the decisions mentioned above. This notification is to be submitted according to the form set up by the Authority.
The Authority may serve a notice of objection on any person proposed to be appointed within a period of one month from the date of the notification of the decision.
The person concerned has the right to appeal to the Minister of Economy against the Authority's decision of the objection of appointment within a period of fifteen days from the date of notification of the decision. Lapse of thirty days as from notifying the Authority without being objected, shall be considered as a decision of approval.
Article 32 - The company has to display in papers it issues, that it has been authorised to transact insurance or reinsurance business in Egypt, and should mention the number and date of its registration in the companies register at the Authority.
Article 33 - The company shall notify the Authority of any alteration in the information included in the application of registration and authorisation as well as in the documents and forms accompanying it. This notification is submitted according to the rules and conditions provided for in the executive regulation of this Act and should be accompanied by the documents pertinent to this alteration or change.
If the alteration covers the bases of insurance business or the benefits, restrictions and conditions under the insurance policies, the company, if it is already transacting one of the classes of insurance specified in the article I, clause (I), item (I) of this Act, should also submit together with the notification a certificate from one of the actuaries registered in the prescribed register at the Authority proving that the rates, benefits, limits and conditions are sound and applicable.
These alterations or changes shall be taken into effect only after being endorsed by the Authority. Lapse of thirty days from the Authority's notification without a decision being made on them, they will be considered as a decision of approval. The alterations concerning the information of registration and authorisation will be published in Al waka'a Al Misryah at the expense of the company.
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