{"id":559964,"date":"2021-02-10T03:50:28","date_gmt":"2021-02-10T03:50:28","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2021\/02\/10\/no-self-dealing-in-the-ins-industry-fra-says\/"},"modified":"2021-02-10T03:50:28","modified_gmt":"2021-02-10T03:50:28","slug":"no-self-dealing-in-the-ins-industry-fra-says","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2021\/02\/10\/no-self-dealing-in-the-ins-industry-fra-says\/","title":{"rendered":"No self-dealing in the ins. industry, FRA says"},"content":{"rendered":"

Major shareholders of ins. companies can\u2019t also be major clients:<\/strong> Property and liability ins. companies will be restricted in how much business they can do with their principal shareholders under a recent decision<\/a> from the Financial Regulatory Authority (FRA). Shareholders will now only be able to account for 10% of insurers\u2019 total premiums in a move designed to curb concentration risk and minimize conflicts of interest.<\/p>\n

What\u2019s the logic here?<\/strong> Shareholders can often receive preferential treatment from insurers in which they hold stakes when taking out policies on separate holdings, including markdowns and lightly-scrutinized claims, which could put the insurer at financial risk, a source at the FRA told Enterprise yesterday. Limiting the number of policies insurers can write for their owners also helps mitigate portfolio concentration, they said.<\/p>\n

Regulators have been stepping in in recent months to curb concentration risk <\/strong>\u2014 which arises when a financial intermediary is overly invested in a single individual, company, sector, or related group. Mortgage and consumer finance companies are examples of non-banking financial services players, which all fall under the FRA\u2019s purview, currently subject to limits against concentrated portfolios (see our coverage here<\/a> and here<\/a>). Other rules<\/a> by the central bank also prevent commercial banks from lending more than 15% of their base capital to a single borrower\u2014 what\u2019s called a \u201csingle obligor\u201d limit in the trade.<\/p>\n","protected":false},"excerpt":{"rendered":"

Major shareholders of ins. companies can\u2019t also be major clients: Property and liability ins. companies will be restricted in how much business they can do with their principal shareholders under a recent decision from the Financial Regulatory Authority (FRA). Shareholders will now only be able to account for 10% of insurers\u2019 total premiums in a […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"single-feature.php","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[8614],"tags":[72,76,595,3330,871],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-559964","post","type-post","status-publish","format-standard","hentry","category-regulation-watch","tag-enterpriseam","tag-financial-regulatory-authority","tag-non-banking-financial-services","tag-portfolio-investment","tag-regulation-watch","wpautop","entry"],"acf":{"mongo_id":"073ff9c6-ff2b-4e41-99fd-d65d0f8c9ea2","is_powered_by":true,"story_type":"1","photo_url":"","photo_position":"above","related_issue":[559956],"teaser":"","voice_url":""},"yoast_head":"\nNo self-dealing in the ins. industry, FRA says - EnterpriseAM Egypt<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/enterpriseam.com\/egypt\/2021\/02\/10\/no-self-dealing-in-the-ins-industry-fra-says\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"No self-dealing in the ins. industry, FRA says\" \/>\n<meta property=\"og:description\" content=\"Major shareholders of ins. companies can\u2019t also be major clients: Property and liability ins. companies will be restricted in how much business they can do with their principal shareholders under a recent decision from the Financial Regulatory Authority (FRA). Shareholders will now only be able to account for 10% of insurers\u2019 total premiums in a […]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/enterpriseam.com\/egypt\/2021\/02\/10\/no-self-dealing-in-the-ins-industry-fra-says\/\" \/>\n<meta property=\"og:site_name\" content=\"EnterpriseAM Egypt\" \/>\n<meta property=\"article:published_time\" content=\"2021-02-10T03:50:28+00:00\" \/>\n<meta name=\"author\" content=\"enterpriseam admin\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"enterpriseam admin\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"1 minute\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2021\/02\/10\/no-self-dealing-in-the-ins-industry-fra-says\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2021\/02\/10\/no-self-dealing-in-the-ins-industry-fra-says\/\"},\"author\":{\"name\":\"enterpriseam admin\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#\/schema\/person\/ca597032db7e4db868359c123cec256d\"},\"headline\":\"No self-dealing in the ins. industry, FRA says\",\"datePublished\":\"2021-02-10T03:50:28+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2021\/02\/10\/no-self-dealing-in-the-ins-industry-fra-says\/\"},\"wordCount\":233,\"publisher\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#organization\"},\"keywords\":[\"EnterpriseAM\",\"Financial Regulatory Authority\",\"non-banking financial services\",\"portfolio investment\",\"regulation watch\"],\"articleSection\":[\"REGULATION WATCH\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2021\/02\/10\/no-self-dealing-in-the-ins-industry-fra-says\/\",\"url\":\"https:\/\/enterpriseam.com\/egypt\/2021\/02\/10\/no-self-dealing-in-the-ins-industry-fra-says\/\",\"name\":\"No self-dealing in the ins. industry, FRA says - EnterpriseAM Egypt\",\"isPartOf\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#website\"},\"datePublished\":\"2021-02-10T03:50:28+00:00\",\"breadcrumb\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2021\/02\/10\/no-self-dealing-in-the-ins-industry-fra-says\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/enterpriseam.com\/egypt\/2021\/02\/10\/no-self-dealing-in-the-ins-industry-fra-says\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2021\/02\/10\/no-self-dealing-in-the-ins-industry-fra-says\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/enterpriseam.com\/egypt\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"No self-dealing in the ins. industry, FRA says\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#website\",\"url\":\"https:\/\/enterpriseam.com\/egypt\/\",\"name\":\"EnterpriseAM\",\"description\":\"The State of the Nation\",\"publisher\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/enterpriseam.com\/egypt\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#organization\",\"name\":\"EnterpriseAM\",\"url\":\"https:\/\/enterpriseam.com\/egypt\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/ent.news\/internal\/240894.svg\",\"contentUrl\":\"https:\/\/ent.news\/internal\/240894.svg\",\"caption\":\"EnterpriseAM\"},\"image\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#\/schema\/logo\/image\/\"}},{\"@type\":\"Person\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#\/schema\/person\/ca597032db7e4db868359c123cec256d\",\"name\":\"enterpriseam admin\",\"sameAs\":[\"http:\/\/enterpriseam.testing.projectsarea.com\"],\"url\":\"https:\/\/enterpriseam.com\/egypt\/author\/enterpriseam\/\"}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"No self-dealing in the ins. industry, FRA says - EnterpriseAM Egypt","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/enterpriseam.com\/egypt\/2021\/02\/10\/no-self-dealing-in-the-ins-industry-fra-says\/","og_locale":"en_US","og_type":"article","og_title":"No self-dealing in the ins. industry, FRA says","og_description":"Major shareholders of ins. companies can\u2019t also be major clients: Property and liability ins. companies will be restricted in how much business they can do with their principal shareholders under a recent decision from the Financial Regulatory Authority (FRA). Shareholders will now only be able to account for 10% of insurers\u2019 total premiums in a […]","og_url":"https:\/\/enterpriseam.com\/egypt\/2021\/02\/10\/no-self-dealing-in-the-ins-industry-fra-says\/","og_site_name":"EnterpriseAM Egypt","article_published_time":"2021-02-10T03:50:28+00:00","author":"enterpriseam admin","twitter_card":"summary_large_image","twitter_misc":{"Written by":"enterpriseam admin","Est. reading time":"1 minute"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/enterpriseam.com\/egypt\/2021\/02\/10\/no-self-dealing-in-the-ins-industry-fra-says\/#article","isPartOf":{"@id":"https:\/\/enterpriseam.com\/egypt\/2021\/02\/10\/no-self-dealing-in-the-ins-industry-fra-says\/"},"author":{"name":"enterpriseam admin","@id":"https:\/\/enterpriseam.com\/egypt\/#\/schema\/person\/ca597032db7e4db868359c123cec256d"},"headline":"No self-dealing in the ins. industry, FRA says","datePublished":"2021-02-10T03:50:28+00:00","mainEntityOfPage":{"@id":"https:\/\/enterpriseam.com\/egypt\/2021\/02\/10\/no-self-dealing-in-the-ins-industry-fra-says\/"},"wordCount":233,"publisher":{"@id":"https:\/\/enterpriseam.com\/egypt\/#organization"},"keywords":["EnterpriseAM","Financial Regulatory Authority","non-banking financial services","portfolio investment","regulation watch"],"articleSection":["REGULATION WATCH"],"inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/enterpriseam.com\/egypt\/2021\/02\/10\/no-self-dealing-in-the-ins-industry-fra-says\/","url":"https:\/\/enterpriseam.com\/egypt\/2021\/02\/10\/no-self-dealing-in-the-ins-industry-fra-says\/","name":"No self-dealing in the ins. industry, FRA says - EnterpriseAM Egypt","isPartOf":{"@id":"https:\/\/enterpriseam.com\/egypt\/#website"},"datePublished":"2021-02-10T03:50:28+00:00","breadcrumb":{"@id":"https:\/\/enterpriseam.com\/egypt\/2021\/02\/10\/no-self-dealing-in-the-ins-industry-fra-says\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/enterpriseam.com\/egypt\/2021\/02\/10\/no-self-dealing-in-the-ins-industry-fra-says\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/enterpriseam.com\/egypt\/2021\/02\/10\/no-self-dealing-in-the-ins-industry-fra-says\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/enterpriseam.com\/egypt\/"},{"@type":"ListItem","position":2,"name":"No self-dealing in the ins. industry, FRA says"}]},{"@type":"WebSite","@id":"https:\/\/enterpriseam.com\/egypt\/#website","url":"https:\/\/enterpriseam.com\/egypt\/","name":"EnterpriseAM","description":"The State of the Nation","publisher":{"@id":"https:\/\/enterpriseam.com\/egypt\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/enterpriseam.com\/egypt\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/enterpriseam.com\/egypt\/#organization","name":"EnterpriseAM","url":"https:\/\/enterpriseam.com\/egypt\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/enterpriseam.com\/egypt\/#\/schema\/logo\/image\/","url":"https:\/\/ent.news\/internal\/240894.svg","contentUrl":"https:\/\/ent.news\/internal\/240894.svg","caption":"EnterpriseAM"},"image":{"@id":"https:\/\/enterpriseam.com\/egypt\/#\/schema\/logo\/image\/"}},{"@type":"Person","@id":"https:\/\/enterpriseam.com\/egypt\/#\/schema\/person\/ca597032db7e4db868359c123cec256d","name":"enterpriseam admin","sameAs":["http:\/\/enterpriseam.testing.projectsarea.com"],"url":"https:\/\/enterpriseam.com\/egypt\/author\/enterpriseam\/"}]}},"featured_image_src":null,"featured_image_src_square":null,"author_info":{"display_name":"enterpriseam admin","author_link":"https:\/\/enterpriseam.com\/egypt\/author\/enterpriseam\/"},"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack-related-posts":[{"id":602424,"url":"https:\/\/enterpriseam.com\/egypt\/2019\/03\/27\/fra-signals-new-protections-coming-for-minority-shareholders\/","url_meta":{"origin":559964,"position":0},"title":"FRA signals new protections coming for minority shareholders","author":"enterpriseam admin","date":"27 March 2019","format":false,"excerpt":"FRA signals new protections coming for minority shareholders: The Financial Regulatory Authority (FRA) has reportedly signed off on a regulatory change that aims to protect the rights of minority shareholders when companies list and delist shares on the EGX, Al Masry Al Youm reports. The changes zero in on conflicts\u2026","rel":"","context":"In "Speed Round"","block_context":{"text":"Speed Round","link":"https:\/\/enterpriseam.com\/egypt\/category\/speed-round\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/internal\/536550.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":570633,"url":"https:\/\/enterpriseam.com\/egypt\/2020\/04\/08\/fra-allows-traditional-insurers-to-own-stakes-in-takaful-companies\/","url_meta":{"origin":559964,"position":1},"title":"FRA allows traditional insurers to own stakes in \u2018takaful\u2019 companies","author":"enterpriseam admin","date":"8 April 2020","format":false,"excerpt":"REGULATION WATCH- FRA allows traditional insurers to own stakes in \u2018takaful\u2019 companies: Mainstream insurance companies are now allowed to be shareholders in their mutual guarantee or sharia-compliant \u201ctakaful\u201d insurance counterparts, according to a decision by the Financial Regulatory Authority carried by Al Mal. The decision exempts takaful insurance companies from\u2026","rel":"","context":"In "Speed Round"","block_context":{"text":"Speed Round","link":"https:\/\/enterpriseam.com\/egypt\/category\/speed-round\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2020\/4\/77.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":567250,"url":"https:\/\/enterpriseam.com\/egypt\/2020\/01\/16\/fra-issues-new-regs-to-protect-minority-shareholders-in-listed-companies\/","url_meta":{"origin":559964,"position":2},"title":"FRA issues new regs to protect minority shareholders in listed companies","author":"enterpriseam admin","date":"16 January 2020","format":false,"excerpt":"REGULATION WATCH- FRA issues new regs to protect minority shareholders in listed companies: The Financial Regulatory Authority's (FRA) board of directors has signed off yesterday on a change to the regulations governing listed companies to require boards to provide more information to their general assemblies on potential conflicts of interest,\u2026","rel":"","context":"In "Speed Round"","block_context":{"text":"Speed Round","link":"https:\/\/enterpriseam.com\/egypt\/category\/speed-round\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/internal\/536550.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":601811,"url":"https:\/\/enterpriseam.com\/egypt\/2019\/03\/11\/americana-minority-shareholders-ask-fra-to-file-lawsuit-against-alabbar\/","url_meta":{"origin":559964,"position":3},"title":"Americana minority shareholders ask FRA to file lawsuit against Alabbar","author":"enterpriseam admin","date":"11 March 2019","format":false,"excerpt":"M&A WATCH- Americana\u2019s minority shareholders ask FRA to compel MTO bid by Alabbar: Minority shareholders of Egyptian International Tourism Projects Company (Americana Egypt) are demanding that the Financial Regulatory Authority (FRA) take legal action to compel a company led by Emirati business figure Mohamed Alabbar to make a mandatory tender\u2026","rel":"","context":"In "Speed Round"","block_context":{"text":"Speed Round","link":"https:\/\/enterpriseam.com\/egypt\/category\/speed-round\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/internal\/536550.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":660471,"url":"https:\/\/enterpriseam.com\/egypt\/2025\/02\/12\/fra-revises-guidelines-governing-ins-firms-investments\/","url_meta":{"origin":559964,"position":4},"title":"FRA revises guidelines governing ins. firms\u2019 investments","author":"enterpriseam admin","date":"12 February 2025","format":false,"excerpt":"New rules introduce new investment requirements for ins. and reins. players","rel":"","context":"In "REGULATION WATCH"","block_context":{"text":"REGULATION WATCH","link":"https:\/\/enterpriseam.com\/egypt\/category\/regulation-watch\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2024\/10\/1019.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":573845,"url":"https:\/\/enterpriseam.com\/egypt\/2020\/08\/19\/fra-issues-new-regulations-over-delisting-cancellation-of-listed-securities\/","url_meta":{"origin":559964,"position":5},"title":"FRA issues new regulations over delisting, cancellation of listed securities","author":"enterpriseam admin","date":"19 August 2020","format":false,"excerpt":"REGULATION WATCH- Shares in companies that voluntarily delist from the EGX can still be traded for up to three months after the company announces its plans to leave the exchange, according to new regulations the Financial Regulatory Authority (FRA) issued yesterday. The decision is meant to give shareholders some measure\u2026","rel":"","context":"In "Speed Round"","block_context":{"text":"Speed Round","link":"https:\/\/enterpriseam.com\/egypt\/category\/speed-round\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/internal\/536550.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]}],"_links":{"self":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/559964","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/comments?post=559964"}],"version-history":[{"count":0,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/559964\/revisions"}],"acf:post":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/issue\/559956"}],"wp:attachment":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/media?parent=559964"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/categories?post=559964"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/tags?post=559964"},{"taxonomy":"brand","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/brand?post=559964"},{"taxonomy":"newspack_spnsrs_tax","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/newspack_spnsrs_tax?post=559964"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}