1)

It is prohibited for Insurance Companies to combine persons and fund accumulation insurance operations and property and liability insurance operations.

2)

Existing companies licensed to carry out the two types of insurance before the issuance of the Federal Decree-Law No. (6) of 2007, referred to hereinabove, shall remain operational.

3)

The Companies referred to in Clause (2) above shall comply with the following controls:

a.

Complete separation between persons and funds accumulation insurance operations and property and liability insurance operations in terms of technical, financial, technological, administrative and legal procedures and the relevant technical, administrative and financial systems and staff, except for the Company’s Director General; and

b.

Preparing all financial reports and statements required by virtue of this Decree- Law and the Board’s instructions and resolutions on a consolidated aggregate basis, and on the basis of the separation between persons and funds accumulation insurance operations and property and liability insurance operations.

4)

Notwithstanding the provisions of Clause (2) above, the Cabinet may, at the proposal of the Board, issue a resolution obligating Insurance Companies to adjust their situations pursuant to the provisions of Clause (1) above, or may issue a resolution that such Companies remain carrying out the two types of insurance while being prohibited from issuing new Insurance Policies combining the property and liability insurance and the persons and funds accumulation insurance operations, in accordance with the controls and requirements set by the Cabinet in this regard.

1)

Insurance brokerage for funds or properties existing in the State or for the liabilities arising therefrom may only be carried out by an Insurance Company licensed under the provisions of this Decree-Law.

2)

The Company may reinsure inside and outside the State.

3)

No Person may conclude an Insurance Policy with an Insurance Company outside the State to cover any money or property within the State or liabilities arising therein. No legal person in the State may insure its personnel in the State with an Insurance Company outside the State.

4)

Notwithstanding the provisions of Clause (3) above, insurance may be made with an Insurance Company outside the State in case the required Insurance Coverage is not available in the State, or Insurance Companies abstain from, or unable to provide such coverage, or for any other reasons decided by the CBUAE, in accordance with the controls and conditions determined by the Board in this regard.

1)

The Insurance Policy shall be concluded in the State in Arabic, and an accurate translation into any other language may be attached therewith. In case of discrepancy in the interpretation of the policy, the Arabic text shall prevail.

2)

The policy’s clauses exempting the Insurance Company from liability shall be written in bold with a different colour, and must be endorsed by the Insured.

3)

Insurance Policies may be electronically issued, in accordance with the terms and conditions established by virtue of a resolution by the Board.

4)

Notwithstanding the provision of clause (1) above, the Governor may exclude certain Insurance Policies from the condition of being concluded in Arabic, provided that a translated copy in Arabic be submitted if so requested by the CBUAE.