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  • Section (5) Regulations Pertinent to the Records Which the Company Shall be Obligated to Organize and Maintain as Well as the Data and Documents That Shall be Made Available to the Authority

    • Article (1) - General Requirements for Records

      1. The Company must maintain complete transaction records for all local and international operations for as long as they are deemed relevant for the purposes for which they were made. Records of completed transactions may be retained in either hard copy and/or electronic format, but must be kept in their original form. Completed transaction records for business booked in the UAE must be maintained in the UAE and be easily accessible to the Authority.
         
      2. Any Company that is licensed for both Insurance of Persons & Fund Accumulation operations and Property and Liability insurance operations, must maintain separate records in respect of both types of insurance operations. The transactions relating to each kind of business must be maintained separately. The Company must maintain such accounting and other records as necessary to identify all assets and liabilities in respect of each kind of business.
         
      3. The Company shall maintain backup for all records. The backup shall be maintained in a separate location from the original records.
         
      4. Regardless of any information mentioned in other regulations, the electronic information or information generated from the computer system, fax and e-mail are considered adequate and valid if the authoritative controls were adhered to.

    • Article (2) - Period of Retention for Records

      1. The retention period of the records and backups along with any other related documents and data, should be for ten (10) years or more, as of the end date of the activity or the working relation with insured.
         
      2. The Company will maintain records beyond the normal statute of limitation periods as stipulated in paragraph (1) above, when the records are subject to ongoing investigations or prosecution in court. In such cases, the retention period shall be two years from the date of final verdict or the resolution issuance.

    • Article (3) - Types of Records

      1. The Company must maintain adequate records for all lines of business and shall include:
         
        1. Underwriting, Policy Issuance and Policy Servicing records;
           
        2. Claim transaction records;
           
        3. Complaints records;
           
        4. Technical Provisions records;
           
        5. Financial Solvency records;
           
        6. Product related records;
           
        7. Reinsurance contracts and related records;
           
        8. Investment records;
           
        9. Records of Company's transactions with its subsidiaries and affiliates;
           
        10. Records for the policyholders' funds under management;
           
        11. Records for shareholders funds;
           
        12. Major agreements of the Company;
           
        13. Policies and Procedures for all the processes within the Company including Risk Management Policy and Procedures;
           
        14. Records of actuarial reports;
           
        15. Records for professionals related to insurance; and
           
        16. Any other records that the Authority may require.
            
      2. Further guidance on types of records in Addendum (1) of the regulations herein shall be applied.

    • Article (4) - Examination of Records

      1. The Authority examiners or any person assigned by it shall have the right to conduct office and field examinations of all accounts, records, documents, and transactions related to the insurance affairs of the Company and the Insurance and Reinsurance Services Provider. The Company employees shall provide all information, particulars and documents required by the examiners.
         
      2. When appointing an Actuary, the Company shall waive any duty of confidentiality on the part of the Actuary, such that the Actuary may report to the Authority any concerns held regarding material failures by the Company to comply with Authority requirements.
         
      3. The Authority may from time to time inspect under conditions of secrecy the records of the Company and of any of its branch offices.
         
      4. The Authority has the right to submit a formal letter to any Company employee for the following reasons:
         
        1. Provide the Authority with any information; or
           
        2. Appear before the Authority to discuss any topic that the Authority may request.

         
      5. An examiner authorized by the Authority shall examine, without any prior notice, the documents related to:
         
        1. The Company, or its agent, inside or outside the UAE; or
           
        2. The Company in liquidation or an insurance company whose license has been suspended.
            
      6. The examiner may examine the Company or a person whom he believes to be acquainted with the facts and circumstances of the case, including the External Auditor or the Actuary of the Company, the Company or the person shall give such document or information as the examiner may require within such time as he may specify.
         
      7. An External Auditor or an Actuary shall not be liable for breach of a contract relating to, or duty of, confidentiality for giving a document or information to the examiner.
         
      8. In case it becomes evident to the Authority that the actuarial report does not reflect the correct financial status of the Company, the Authority may order a re-examination by an Actuary appointed by Authority and the expenses to be borne by the Company for re-examination ordered by the Authority.
         
      9. In the case of any material discrepancies in the data or the records provided by the Company, the Authority may request to amend them within a specified period.
         
      10. The Company should submit any documents or information requested by the Authority or any Company that has an ownership relationship with the Company, pertaining to the Company's records and within the time period set by the Authority.

    • Article (5) - Records for Agents

      1. The agent shall keep records for all the data, information and documents related to the insurance agency business he is practicing on behalf of the Company or any of its branches, as the case may be, including the following:
         
        1. Name and address of the Company or any of its branches he is practicing the insurance business for;
           
        2. A copy of the agency agreement concluded between him and the Company;
           
        3. Memos and correspondences related to his business;
           
        4. The proposals received on behalf of the Company or any of its branches;
           
        5. Name of the proposer of insurance, the insured and the beneficiary, as well as the date of issuance and the premium collected in respect thereof;
           
        6. Where the agent is entitled to underwrite and issue policies on behalf of the Company, the agent shall document insurance policies and their endorsements concluded by him on behalf of the Company or any of its branches;
           
        7. A copy of insurance policies that the policyholder concludes with the Company;
           
        8. Records with serial numbers related to collecting, paying, recording, settling claims and any financial transactions regarding the insurance agency business practiced; and
           
        9. Bank records regarding the insurance agency business practiced.
            
      2. The records referred to above shall be in the form of originals, or in any other form of electronic archiving systems.
         
      3. The agent shall keep the records along with the backups for a period of not less than those stated in the insurance agent's regulations.
         
      4. The agent shall maintain records beyond the normal statute of limitation periods as stipulated in the insurance agent's regulations, when the records are subject to ongoing investigations or prosecution in court, until such records are no longer needed.
         
      5. The Authority may assign an employee(s) or appoint an external party to inspect, at appropriate times, the records of the agent. The agent shall have all his records available and cooperate with the employee(s) or the external party so that they can fully perform their duties. The agent shall bear all the expenses for the external party as decided by the Authority, unless the Authority deems otherwise.

    • Article (6) - Records for Brokers

      Brokers shall maintain records in accordance with terms and provisions identified in the insurance brokerage regulations in force, and decisions issued pursuant thereto.

    • Article (7) - Addendum

      The Addendum attached to these regulations is an integral part of the regulations and is to be read along with the regulations.

      • Addendum to Section 5 Records Which the Company Shall be Obligated to Organize and Maintain as well as the Data and Documents that Shall be Made Available to the Authority

        • Addendum

          1. The Company shall maintain the following as a minimum for Policy Issuance, Underwriting and Policy Servicing records:
             
            1. a. Insurance application and proposal;
               
            2. b. Insurance policy;
               
            3. c. Agreement on any terms of reinsurance cover;
               
            4. d. Reinsurance contracts;
               
            5. e. The insured and beneficiary's proof of identification;
               
            6. f. Underwriting policy and procedures;
               
            7. g. The technical basis of the insurance policies and premium ratios;
               
            8. h. List of insured personnel for group policies;
               
            9. h. Medical declaration for Insurance of Persons;
               
            10. i. Policyholders register;
               
            11. j. Re-insurance registers for assumptions and cessions showing details of underwriting information by treaty, subscriptions, losses, commissions, etc., balances due to/from re-insurance companies, and supporting source documents; and
               
            12. k. Customer Complaints register.
                
          2. The Company shall maintain claim records pertaining to policyholders' claims and classify them into paid, unpaid, and rejected claims. Each record shall include the following:
             
            1. Insurance application and proposal, if available;
               
            2. Copy of the insurance policy and procedures;
               
            3. Claims policy and procedures;
               
            4. Policyholder's claim information;
               
            5. Claims register;
               
            6. Adjusters and assessor's report and any other documents pertaining to the claim and the direct reason leading to the covered loss;
               
            7. Proportional share of any other insurance and re-insurance policies in effect;
               
            8. Action taken by the Company and the status of the claim;
               
            9. A power-of-attorney from the insured to the Company to subrogate it in the following cases;
               
              1. Third party liability for the loss; and
                 
              2. Defending the insured in disputed liability or in determining the indemnity amount.
                  
            10. Signed settlement agreement by a person for a paid claim except in the cases of electronic medical claims where the signed settlement agreement is waived.
                
          3. The Company shall maintain the following records in relation to the calculations of Technical Provisions:
             
            1. The methods and assumptions used in establishing the Company's reserves, including the margins for adverse deviation, and the reasons for their use;
               
            2. The nature of, reasons for, and effect of, any change in approach, including the amount by which the change in approach increases or decreases its reserves;
               
            3. Stress testing and scenario analysis prepared as required;
               
            4. Reserve calculations performed for each period; and
               
            5. Claims developments within the preceding five (5) years to show the variances in building the technical provisions.
                
          4. The Company shall maintain records related to investment operations such as investment statements, summary of investment income, details of derivatives and pledged assets, supporting documentation including securities registers (including information regarding securities held by the Company outside the UAE).
             
          5. In support of the investment operations, the Company shall maintain the following records:
             
            1. Working papers, with properly referenced audit trails, to support the financial statements/ regulatory data required to be submitted to the Authority;
               
            2. Bank statements, cheque registers, monthly banks reconciliations, vouchers and receipts pertaining to the operations in the UAE, and adequate documentation to confirm that amounts due in respect of the insurance business of the Company flow to the bank accounts in the UAE;
               
            3. Records supporting amounts due to or from the head office and affiliated entities (if any);
               
            4. Policy movement reports and reserve amounts;
               
            5. Premium registers detailing premiums written, earned, and unearned;
               
            6. Listing of policy loans amounts on deposit by policy, related income or expense, and originals or copies of policy loan applications;
               
            7. A description of the accounting system;
               
            8. All agreements, including outsourcing agreements with third party and affiliates;
               
            9. All signed contracts, which are material to the Company, that relate to the administrative operation of the Company;
               
            10. Policies and practices governing the Company's operations in the UAE;
               
            11. Risk management policies and procedures;
               
            12. Details of Board of Directors minutes and other committee minutes;
               
            13. Details of any current litigation matters; and
               
            14. Actuarial reports, including valuation reports, external review reports, experience studies, etc., and supporting documentation.