الهيئة العامة للرقابة المالية

• The maximum insurance age has been raised from 60 to 65 years.
• The policy covers all-cause mortality (death from any cause) and permanent total disability (PTD).

Financial Regulatory Authority (FRA), chaired by Dr. Mohammed Farid, has issued an updated Standard Group Micro-insurance Policy template. This policy covers all-cause mortality and permanent total disability (PTD), aligning with FRA’s mandate to bolster financial inclusion and provide robust protection for the most vulnerable segments.

FRA resolution No. 27 of 2026 supersedes the previous resolution No. 16 of 2019. Life insurance and capital formation companies are now mandated to adopt this new template. A six-month grace period has been granted to insurance providers and financing entities to ensure full compliance and regulatory alignment.

Key amendments include raising the maximum insurance age from 60 to 65 years. Additionally, the updated framework allows for the coverage of individuals exceeding this age limit, subject to bilateral agreements between the insurer and the financing institution.

The new policy provides micro-entrepreneurs with coverage against death and permanent disability. Protection begins on the effective date reported to the insurer and continues until the micro-financing term is fully concluded.

The template stipulates that insurance premiums shall be calculated based on the outstanding financing principal. These premiums exclude statutory fees, stamp duties, and contributions to the Policyholders’ Protection Fund.

The resolution stipulates that insurers must settle claims directly to the financing entity or the insured party within five business days following the submission of a complete claim file.

Standard exclusions include crimes committed by the beneficiary, nuclear radiation injuries, and pre-existing HIV/AIDS conditions prior to policy inception.

The policy defines Permanent Total Disability (PTD) as an incurable condition persisting for six consecutive months that renders the insured permanently unable to work. This includes total blindness in both eyes, complete paralysis, or the amputation of both arms or legs.

Financing entities are required to remit premiums within a 30-day grace period from the due date; failure to comply results in the termination of coverage. To facilitate claims, beneficiaries must provide a national ID copy, an original death certificate or a certified medical report for PTD, and an account statement detailing the insured’s outstanding debt balance.