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CMA Issues Regulation for Online Insurance Services

The Capital Market Authority published in this week’s issue of the Official Gazette the Regulation Governing Electronic Insurance Operations. This regulation introduces new additional approval requirements for insurance companies and brokers wishing to provide their services on the internet. For example, Bima.om will now be required to comply with this regulation.

The new regulation makes it a requirement to obtain the CMA’s new approval for electronic insurance operations if an insurance company markets or sells policies online, collects insurance premiums online, or receives and processes complaints online. The regulation also requires the insurance company to obtain an additional approval if the company subcontracts the management of its platform to a third party, and in this case, the approval will only be given if the third party has an office in Oman and is licensed by the government.

The regulation also has detailed disclosure requirements, periodic audit requirements, information security requirements, and an obligation to retain the data of users for a minimum of ten years.

CMA has the power under the new regulation to impose penalties such as issuing fines up to 2,000 Rial Omani, suspending the platform for up to 30 days, and revoking the approval.

Insurance companies and brokers have 120 days to comply with the provisions of this regulation.  You can read it in full in English on the link below: