Khaberni - The Cabinet decided in its session held today, Wednesday, under the chairmanship of Prime Minister Dr. Jaafar Hassan, to approve the Insurance Contracts Bill for the year 2025, which aims to enhance transparency and fairness in the relationship between insurance companies and citizens.
The bill guarantees the protection of the insured's rights by mandating insurance companies to respond to requests within only 10 days, and prohibits the imposition of unfair or ambiguous conditions.
It also contributes to stimulating investment and supporting the national economy by providing a developed legislative environment, in addition to counteracting negative phenomena such as the purchase of "Krokats" and legally criminalizing it with clear penalties.
The bill seeks to enhance confidence in the insurance sector and to achieve the principle of fair compensation that protects the rights of all parties.
The bill ensures that the terms of contracts are clear and simple and interpreted in favor of the insured in the event of any ambiguity.
It also emphasizes the right to fair compensation equivalent to the actual loss, and up to a maximum of the agreed insurance amount, while preventing the imposition of vague or unfair terms that lead to denial of compensation to the citizen.
The bill works to establish clear rules that regulate the stages of the insurance process from the stage of submitting the insurance request to the conclusion and execution of the contract, and emphasizes the display of general and specific terms and conditions, coverages, exceptions, and required data in the insurance contract as a minimum, such as the insured interest, the nature of the insured risks or against them, the amount of insurance and its premium, and the date of contract conclusion, the effective date, time, and duration.
Under the bill, legal provisions are placed that consider the specificity of the insurance contract in general, and the specificity of certain types thereof in particular, such as contracts for insurance on individuals or property or on life or from fire and other property damage, medical insurance contracts, marine insurance contracts, and reinsurance contracts.
The bill specifies the obligations incumbent on the parties of the insurance contract and clarifies the legal provisions consequent on its termination based on justified reasons before the expiration of its term and the obligations resulting from that on the insured and the insurer.
It also defines the limitation period preventing the hearing of lawsuits arising from the insurance contract, the cases in which this limitation is interrupted, and the date on which the right to file lawsuits arises for the insured and for others.
