Aggregated News From Investment Management Regulators

FRA welcomes the issuance of a Ministerial Decree on the Regulations of Governmental Insurance Fund to cover some damages arising from accidents of rapid transit vehicles inside Egypt

Report/Flag

Please complete the required fields.



• Dr. Omran: Legislations of governmental insurance funds must be compatible with good governance rules

Within the framework of improving levels of good governance and management on the scope of governmental insurance funds and in order to achieve financial stability, Dr. Mohammed Omran – FRA’s Chairman emphasized that the ministerial decree No. 2291 of 2018 on the amended system of governmental insurance fund to cover the damages arising from accidents of rapid transit vehicles inside Egypt came in the wake of the amendments to the provisions of Article (24) of Law No. 10 of 1981. He added that the said amendments grant more  governance requirements for the four governmental insurance funds listed at the Authority , including “the governmental insurance fund to cover the damages arising from accidents of rapid transit vehicles”  by granting it the legal personality.

FRA’s Chairman illustrated that according to the decree, the Fund will be listed at FRA’s registry prepared for this purpose. The Fund shall be subjected to all the provisions governing governmental insurance funds stipulated in Law No 10 for 1981for Insurance Supervision and Control in Egypt and its Executive Regulations. This will be a legislative step to implement the Authority’s ambitious program to develop legislations governing non-banking financial markets and tools.

In the same context, Consultant / Reda Abdel Moaty – FRA’s Deputy revealed that the governmental fund to cover damages arising from accidents of rapid transit vehicles was established – for the first time in Egypt – in accordance with Law No. 72 of 2007. He added that the fund aims at achieving maximum protection for those injured by rapid transit vehicles for cases that are most in need of protection due to loss of their family or disability (total / partial) as a result of accidents arising from rapid transit vehicles in cases that are not covered by any of the insurance companies.

 FRA’s Deputy Chairman stated that the total amount of compensations paid since the establishment of the fund in 2007 until 30/6/2018 amounted to more than 460 million pounds, of which about 250 million pounds have been paid in the past three years compared to about 210 million pounds paid for the period from 2007 until 30/6/2015.

Consultant / Reda Abdel Moaty added that during the nine months of this year governmental Insurance Fund to cover the damages arising from accidents of rapid transit vehicles received 363 requests between entitled and not entitled to compensations and requests under study, where an amount of 108 million pounds was paid. The value of compensation upon death or total disability is 40,000 pounds and a percentage in Partial disability, without the need to resort to the judiciary in order to save expenses and accelerate the procedures for disbursement of outstanding cases. He illustrated that the Fund plays its role alongside 15 insurance companies that carry out this type of compulsory insurance, which has a social dimension through providing insurance protection for the category of injured persons from accidents of rapid transit vehicles.

Regarding facing some forms of harmful practices, Consultant / Reda Abdel Moaty explained that the Fund is about to complete the process of automating all manual operations related to the Fund. He emphasized that the Fund’s database has been linked with the electronic system of Compulsory Compensation for Motor Vehicle Injuries in the Insurance Federation of Egypt (IFE) to prevent any manipulation or duplication in the data or to pay the same compensation twice.

Abdel Moaty pointed out that the automation of the  Fund’s technological system which is related to the legal part thereof and includes the legal cases  and settlement claims has already been completed. The system now receives  and registers  claims resulting from death or partial or permanent disability that are reported to the Insurance Federation of Egypt (IFE) through  member companies. He added that the program «Mawareeth» is to be launched  soon , noting that the said program  will pay compensation to the heirs automatically, through preparing financial models automatically to pay compensation for victims of roads.  It is scheduled to be completed within a month from now at most.

It should be noted that the Governmental  Insurance Fund covers civil liability arising from accidents occurring to others as well as the dangers of death and partial or total permanent disability. That is in addition to the physical damage to the property of others. Besides, it includes passengers whether inside, up, or descending from the vehicle. Also, in cases of lack of knowledge of the vehicle responsible for the accident, or the absence of insurance on the vehicle and accidents arising from vehicles exempt from licensing procedures.

Source link

Regulator Information

Abbreviation: FRA
Jurisdiction: Egypt

Recent Articles

Corriegarth Wind Energy/ www.corriegarthwindenergy.com (Please note this has no link to Corriegarth Wind Energy Holdings Limited Company number SC253383 or Corriegarth Wind Energy Limited...

We believe this firm may be providing financial services or products in the UK without our authorisation. Find out why you should be wary...

elitefxoptiontrade

We believe this firm may be providing financial services or products in the UK without our authorisation. Find out why you should be wary...

Bendigo Coins LTD (clone of FCA authorised firm)

Fraudsters are using the details of firms we authorise to try to convince people that they work for a genuine, authorised firm. Find out...

Upswingtrade.com (Clone of FCA authorised firm)

Fraudsters are using the details of firms we authorise to try to convince people that they work for a genuine, authorised firm. Find out...

Kensington Capital UK

We believe this firm may be providing financial services or products in the UK without our authorisation. Find out why you should be wary...

Get the latest from Regulatory.News in your inbox!

×