المملكة: An amendment allows the electronic insurance mediator to issue more than 5 documents for the same customer

The Insurance Authority offered an amendment project targeting the fourth paragraph of the ninth article of the rules governing electronic insurance mediation.
This proposal comes in the context of the body’s exercise of its regular specializations, based on the organization of the Insurance Authority issued by Cabinet Resolution No. 85 and the date of 28/1/1445 AH, as well as the system of monitoring of cooperative insurance companies issued by Royal Decree No. M/32 and date 2/6/1424 AH, and the rate later according to the Royal Decree No. “M/12” dated 23/1/1443 AH.

Strategic goals

The proposed amendment project aims to achieve several strategic goals, most notably enhancing the effectiveness of the insurance sector and developing its performance in the Kingdom, in addition to developing insurance awareness of the public.
In practice, the amendment seeks to enable the electronic insurance medium to issue more than five insurance policies for the same insured, which is expected to contribute greatly to facilitating access to insurance services through electronic platforms, and expanding the circle of options available to beneficiaries.

Electronic mediation

The proposed amendment specifically included deleting paragraph A/4 of the ninth article of the current rules. This paragraph previously stipulated that it is not permissible to accept insurance for more than five vehicles owned by the same insured through electronic mediation channels.
It also obligated the electronic mediator to notify the insurance applicant in the event that this limit exceeded the need to go directly to the points of sale of the relevant insurance company. By deleting this paragraph, this restriction is canceled on the number of documents.
The Insurance Authority emphasized that this step comes as part of its continuous efforts to develop the organizational environment for the insurance sector, in line with technical developments and aims to improve customer experience and enhance market efficiency.