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Article (42) Contents of the Actuary's Report

IA-BOD-RES 2/2009 Effective from 31/1/2010

The actuary's report on the result of the examination and assessment referred thereto in Articles (40) and (41) of the Regulation herein shall contain at least the following related details:

  1. Examination of the specimens of the documents, terms & conditions, and tariffs of the different types of insurances used by the company to verify extent of conformity with the specimens of the documents, terms & conditions, and tariffs approved by the Authority or communicated thereto in order to ensure adequacy and fairness of premium rates and that the company's work technique will not expose its financial status to danger and will not cause damages to those dealing with it.
     
  2. Examination of the paid-up compensations to ensure their settlement according to the terms & conditions and documents and studying as well claims under settlement to verify reasons of nonpayment.
     
  3. Examination of the reinsurance operations as well as the reinsurance arrangements to ensure their adequacy to protect the financial status of the company and also to ensure adequacy of the reinsurers' guarantees.
     
  4. Examination of the company's investment operations to verify the company's compliance with the provisions of the Law and the executive regulation and rules issued pursuant thereto particularly those related to adequacy of the provisions' funds, their investments and that they are not been disposed without obtaining the Authority's approval.
     
  5. Examination of the elements of the financial status of the company and verify whether the company is satisfying the increment rate of its assets over its liabilities at any time according to the provisions of the Law.
     
  6. Examination of the company's capability to fulfill its liabilities at any time and extent of its ability to continue fulfilling its liabilities and the possibility of its failure to pay same.
     
  7. Extent of the company's compliance with the licensing and registration requisites and give an account of the violations and nature of these violations, if any, and extent of their implications on the financial status of the company and the insurance market.
     
  8. All insurance operations concluded or implemented by the company inside the State and their types.
     
  9. All insurance operations concluded or implemented by the company outside the State and their types (for local insurance companies).
     
  10. Extent of the company's compliance with the rules and principles of transparency and fairness.
     
  11. Conflicts of interests whether already existed, or existing or expected to develop relevant to any of the company's board members, the general manager, or the authorized manager or any of its senior officials.
     
  12. Any other information as determined by the Authority or the regulations issued according to the Law.