الهيئة العامة للرقابة المالية

Dr. Islam Azzam – FRA Vice Chairman:

• Our goal is to enable specialized medical insurance companies and current care program managers to seamlessly continue their services through well-defined frameworks and regulations.
• FRA is actively developing new governance rules for insurance companies, specifically to ensure diverse expertise across their boards of directors.
• The Unified Insurance Law marks a significant advancement in refining the legislative structure that governs Egypt’s insurance market.

Dr. Islam Azzam, FRA Vice Chairman participated in a panel discussion titled “Legislative Developments in Healthcare and Medical Insurance.” The discussion was a key component of the “Investing in Healthcare: Legislative Updates and Future Opportunities” workshop, organized by Thebes Consultancy.

The panel featured distinguished participants, including Dr. Ashraf Hatem, Chairman of the Health Affairs Committee in the House of Representatives and former Minister of Health, and Dr. Mai Farid, Executive Director of the General Authority for Comprehensive Health Insurance. Journalist Mohamed Bassal expertly moderated the discussion. Prominent attendees included Dr. Ziad Bahaa El-Din, founder of Thebes Consultancy, Dr. Mohamed Awad Tag El-Din, Advisor to the President for Health Affairs, and a wide array of private sector representatives from the medical field.

During his contribution, Dr. Azzam emphasized FRA’s commitment to ensure the uninterrupted provision of services by specialized medical insurance companies and healthcare management firms. In line with this objective, the Authority recently promulgated resolution No. (90) of 2025. It sets forth the conditions and procedures for these entities to obtain a temporary license, allowing them to continue operations while they regularize their status under the provisions of the comprehensive Unified Insurance Law No. (155) of 2024.

Dr. Islam elaborated on the Authority’s strategic approach to the evolving healthcare and medical insurance landscape. He stated that the FRA’s resolutions are designed to enable existing entities to seamlessly continue providing their vital services through clear frameworks, while simultaneously ensuring their adherence to a well-defined plan for regularizing their status under the new requirements of the Unified Insurance Law. For new entrants, a direct application for a permanent license, in full accordance with the Unified Insurance Law, is required.

In a move to facilitate this transition, FRA Board Decision No. 102 of 2025 has extended the grace period for compliance by one year, effective July 11, 2025. This extension specifically benefits entities falling under the Unified Insurance Law’s provisions, including specialized medical insurance companies and healthcare program management firms.

Dr. Azzam underscored that these regulatory measures are a direct outcome of extensive community dialogue with all relevant stakeholders. This consultative process is integral to FRA’s commitment to maximize the positive legislative impact across the market and incorporating practical realities gleaned from industry representatives.

Furthermore, he detailed the conditions for obtaining a temporary license for specialized medical insurance companies and healthcare program management firms. These include operating as a joint-stock company with fully paid-up issued capital and shareholders’ equity not less than paid-up capital. Specialized medical insurance companies must also possess a minimum capital of EGP 10 million at the time of application and demonstrate a portfolio of existing contracts extending for at least three years prior to the issuance of the Unified Insurance Law.

For specialized medical insurance companies, new regulations stipulate that their portfolio must be at least 100 million EGP when they apply. Additionally, both specialized medical insurance companies and healthcare program management firms need to provide minimum equipment, suitable technological infrastructure, and information systems to operate, all as specified by the Authority.

Dr. Azzam emphasized in his speech that insurance industry is currently experiencing a significant transformation and rapid growth. This surge directly reflects Egypt’s commitment to strengthen financial inclusion and broaden social protection for the most vulnerable population.

He added that the Authority will soon introduce new regulations for consumer protection, outlining how to handle and resolve complaints related to insurance activities and their associated services. Additionally, it will issue solvency rules and implement the latest methods for risk-based capital determination.

The Authority will also issue governance rules for entities subject to the provisions of the Unified Insurance Law, including diversity of expertise within the boards of directors of insurance companies, with representation of independent members and women and the organization of committees stemming from the board, such as internal audit committees, risk committees, technology and investment committees.

He affirmed these changes are part of the state’s broader effort to achieve comprehensive and sustainable economic, social and environmental development. This commitment underpins an ambitious vision to secure a decent and stable life for all citizens, with a strong emphasis on boosting financial inclusion and integrating new societal segments to drive economic growth.

He stressed that the most prominent developments witnessed by the insurance sector in Egypt during the past year was the approval of the Unified Insurance Law, which is a qualitative leap in developing the legislative framework regulating the Egyptian insurance market. The provisions of this law apply to insurance and reinsurance activities, in addition to related insurance services, professions and supporting activities.

The law exclusively granted FRA the jurisdiction to establish, license, supervise and regulate entities operating in this field, which enhances the effectiveness of regulation and provides a more stable and fair environment.

He also noted that, under the Unified Insurance Law, the Authority has issued regulatory decisions setting new minimum capital requirements for various insurance-related entities. Specifically, medical insurance program management companies must now have a minimum capital of 20 million EGP. For insurance companies specializing in a single branch, including specialized medical insurance companies, the minimum capital has been set at 75 million EGP.

In a parallel move, general insurance companies will increase their issued and paid-up capital in two stages over two years. In the first year from the resolution’s effective date, capital must reach 400 million EGP. By the end of the second year, this amount will further increase to 600 million EGP.