The MoU comes within the framework of both countries' interest to enhance the
strategic partnership into advanced levels.
Abu Dhabi, February
On the sidelines of
the visit of His Highness Sheikh Mohammed Bin Zayed Al Nahyan, the Crown Prince
of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces to the
Republic of India, the Insurance Authority (IA) and the Insurance Regulatory
and Development Authority of India (IRDAI) signed a Memorandum of Understanding
aiming to enhance the mutual interests and cooperation in the field of
insurance supervision based on quality and joint interest.
Ibrahim Obaid Al Zaabi, IA Director General, exchanged the MoU with the
Chairman of IRDAI, noting that the UAE is the first country with which the
Indian regulator signs a MoU in the insurance field at the world level.
Mr. Zaabi stressed
the importance of signing the MoU during the visit of His Highness Sheikh
Mohammed Bin Zayed Al Nahyan, the Crown Prince of Abu Dhabi and Deputy Supreme
Commander of the UAE Armed Forces to India. “Cooperation in the insurance field is just a
part of the new cooperation and strategic partnership that has been established
between the UAE and India during the visit. Signing the MoU comes within the
strategic partnership framework between the UAE and Republic of India to serve
the interests of both friendly countries and upgrade this partnership into
advanced levels,” he said.
He referred to the
endeavor of both the Insurance Authority in the UAE and the IRDAI in India to
enhance the mutual interests and cooperation in the insurance supervision field
including overseeing the reinsurance based on quality and benefit.
The IA Director
General said that the signing of the MoU with the Indian Party accounts for
quality step for the Insurance Authority in order to exchange information and
expertise and to enhance and upgrade the strategic goals of the Authority
especially in connection with the development of the insurance sector's performance
in the State and to strengthen competitiveness of the insurance market and
develop its professional, technical level and promotion of UAE as a regional
international center in insurance which would contribute to enhance performance
of business in the local market and develop efficiency of performance of the
insurance companies operating in the State and to protect the insurance
policyholders and provide better services to the dealers.
He clarified that
the MoU seeks to enhance and improve cooperation between both the Authorities
in the field of insurance oversight through provision of cooperation framework
such as the communication channels and increase of mutual joint understanding
through exchange of relative regulatory information and supervisory information
in order to enhance and secure compliance with the laws, regulations and
Mr. Zaabi confirmed
the importance of the MoU in exchanging information and technical insurance
experience in the UAE and Indian markets in the field of research and studies
that would contribute to the development of the supporting best practices to
upgrade the insurance services in the State.
He referred to the
stature of the insurance market in the UAE at the regional and international
levels showing that the subscribed premiums in the State account for 44% of the
market volume in the Gulf region and 33% of the Arab market volume that
amounted to AED 35.5 billion in 2014.
The scope of
cooperation between the two parties under the MoU includes: encourage
reciprocal assistance, exchange of information to help each other in performing
the respective tasks of the parties through exchange of documents including the
information pertaining to the potential insurance fraud cases.
It also includes
exchange of expertise in the insurance oversight through training, symposiums,
participation in the specialized training programs with the specific
educational concentration, provision of booklets and training materials
containing trends and policies of the insurance markets belonging to the two
Authorities, supervising them, trends of mutual cooperation in the
international insurance supervisory organizations, exchange of experts in the
field of insurance supervision, inspection techniques, exchange of information
and other assistance in supervising the transnational institutions and
provision of transnational insurance services.
The IA which was
established under the provisions of the Federal Law No (6) of 2007 assumes
organization of the insurance service activity and supervision over them in a
manner to provide the proper atmosphere to develop and enhance role of the
insurance industry in safeguarding the persons, properties and liabilities
against risks in order to protect the national economy and to gather, grow and
invest the national savings to back up the economic growth in the State and to
encourage the fair effective competition and provide best insurance services at
competitive prices and coverage and to localize the jobs within the insurance
The IRDAI which was
established in 1999 is responsible for the regulation and development of
insurance sector in India and seeks to protect the interests of the
policyholders and to organize and enhance the regular growth of insurance
industry in India.