Application for License of an Insurance Actuary

Application for license of an Insurance Actuary

(Corporate person/ Natural person)

Firstly: General Provisions:

1. The corporate person shall require being one of the following forms in order to practice the profession of an actuary:

A company established in a free zone within the State in accordance with the provisions of the Commercial Companies Law and its primary purpose is to engage in an actuarial profession.
The branch of a company incorporated in a financial free zone in the country or a branch of a foreigner company provided that the company is licensed to practice the profession of actuary in the free zone or the home country and that it is subject to anequivalent supervisory authority and that the period of its actuarial work is not less than two years.

2. No person may practice an actuary in the insurance business in the State unless he is licensed by the Authority and registered in the Register and renews the license annually pursuant to the provisions of the regulation.

3. The actuary may combine the work in the insurance field and the work in other fieldsthatits nature requires the services of actuaries.

4. The actuary may not combine his position as an actuary with the position of an insurance agent, insurance broker, insurance consultant, loss and damage adjuster or any other insurance-related profession.

5. It is not permissible to combine the position of an Actuary and any other position or job in the Company or in any other related Company.

6. It is not permissible to appoint or contract with the actuary and terminate his services or the relationship with him except by the decision of the insurance company Board of Directors.

7. The Company may not assign actuarial duties to any person unless he is licensed and registered in the Authority's Register and pursuant to the Board of Directors Resolution No. (9) of 2017 concerning the licensing and registration of actuaries and the organization of their work.

8. An Actuary may simultaneously contract with a number of insurance companies according to the following:

A. The Actuary (Natural Person):

1. Maximum of three insurance companies for the Actuary, who is aresident in the state.

2. Maximum of two insurance companies for theActuary, who is non- resident in the state.

B. The Actuary (Corporate Person):

1. Maximum of four insurance companies for each individual actuary working for the company and residing in UAE.

2. Maximum two insurance companies for each individual actuary working for the company and not residing in UAE.

9. Submitting the application through E- services.

Secondly: The required documents for a corporate person:

1. A certified copy of the Memorandum of Association and Articles of Association of the Company, provided that the paid up capital of the Company shall not be less than AED 100,000 (One Hundred Thousand UAE Dirhams) for the company established in the State. For the company established in a financial free zone in the State or the foreign company, AED 250,000 (Two hundred and Fifty Thousand UAE Dirhams).

2. Submit a certified certificate from the corporate person's license issued from the financial free zone in the country or by the competent authority in the home country as the case may be.

3. A copy of the Emirates ID of each resident partner in the UAE and copy of the passport of the non-resident partners.

4. A copy of the Emirates ID of each employee and actuary resident in the state and copies of the passports of non-resident employees and actuaries.

5 - Has never been declared bankrupt without being rehabilitated.

6. Submit all required documents to license all actuarial operators of the company or an undertaking stating that all conditions will be fulfilled before granting the license.

7. Provide anundertaking to be neutral, professional and independent when preparing reports.

8. Provide an undertaking to observe the following points:

A. The quality of the data used in preparing the report in terms of data completeness, reasonableness, accuracy and consistency with the company's accounts.

B. Adapt the actuarial form used in the calculations.

C. Adapt the actuarial assumptions used in preparing the report.

D. Remark on the results of the report and its accuracy in order to preparethe final audited accounts.

E. Review the sufficiency of the actuarial report and its adequacy in accordance with the financial instructions

F. Define the shortcomings of the expert who prepared the report from a professional point of view.

9. Submit an undertaking to fulfill all the required conditions of licensing upon approval of the application within the period determined by the Authority. Otherwise, the approval willbe deemed as never beenand not to start the activity before the Authority verifiedthat all the conditions of the license are fulfilled and issued its approval thereon.

10. A Professional Liability Insurance Policy shall be submitted to the Authority in accordance with the following conditions:

A. The policy must be issued by a company licensed and registered with the Authority, and its terms and conditions shall be subject to the approval of the Authority.

B. To be issued in the name of the actuary.

C. Include the legal and insurance conditions relating to the guarantee of professional liability arising from the actuary and the practice of his professional activity and can not be canceled during the term of the policy.

D. The policy shall be valid for the duration of the license and renewable by agreement of the parties (the company and the actuary). In case of non-renewal with the same company, the actuary must submit an insurance policy issued by another company that meets the same required conditions before the expiry of the existing policy by seven working days.

E. The insurance amount in the policy shall not be less than AED 1,000,000 (One Million UAE Dirhams) provided that the amount of the co- insurance shall not exceed AED 30,000 (Thirty Thousand UAE Dirhams).

F. No amendment or alteration in the terms and conditions of the policy may be made without the written approval of the Authority.

11. Any other documents or data required by the Authority.

12. An undertaking to comply with the laws, Regulations, Instructions and Decisions issued by the Authority.

13. Submit an application for license of the actuaries working in the company.

Thirdly: Required documents for a Natural Person:

1. It is Stipulated for the license and registration of an Actuary tohave the “Fellowship” degree or its equivalent by successfully passing the required tests to obtain this degree from thespecialized institutes or organizations in the actuarial sciences approved by the Authoritypursuant to the provisions of Article 12 of this Regulation, or to have “Associateship”degreeor its equivalent bysuccessfully passing the required tests to obtain this degree from thespecialized institutes or organizations in the actuarial sciences approved by the Authority pursuant to the provisions of Article 12 of this Regulation. He must also have a practical experience of not less than two years under the supervision of an Actuary holdingthe Fellowship or Associateship degree.

2. To be legally competentand his age is not less than 25 years old.

3. An official certificate proving that the applicant has never been convicted for an offence involving moral turpitude or trustworthiness along with a declaration that the applicant has never been declared bankrupt or bankrupt and rehabilitated.

4. Declaration that he has never been subject to disciplinary actions by the actuarial society that he belongs to, and by the supervisory authorities that he worked within their jurisdictions.

5. Provide a continuity certificate from the actuarial society he belongs to of membership as an Actuary.

6. A certified copy of the academic and professional qualifications.

7. For independent individuals, a professional liability insurance policy shall be provided in accordance with the following conditions:

A. The policy must be issued by a company licensed and registered with the Authority, and its terms and conditions shall be subject to the approval of the Authority.

B. To be issued in the name of the actuary.

F. No amendment or alteration in the terms and conditions of the policy may be made without the written approval of the Authority.

8. An undertaking to comply with the laws, Regulations, Instructions and Decisions issued by the Authority.

9. Proof of paying of the prescribed fees prescribed in pursuantto the provisions of the regulations and instructions.

10. Any other documents requested by the Director General.