Insurance laws Iran
Iran's insurance sector operates under a structured legal framework that encompasses both mandatory and optional insurance schemes, regulated by the Central Insurance of the Islamic Republic of Iran (Bimeh Markazi Iran).
🏛️ Regulatory Authority: Bimeh Markazi Iran
Established by the Act on Establishment of Bimeh Markazi Iran, this body oversees the regulation, supervision, and development of the insurance industry in Iran Its responsibilities include
-Issuing directives and regulations to promote proper insurance operations
Supervising insurance companies and intermediaries
Administering compulsory reinsurance operations
-Ensuring the protection of policyholders and beneficiaries
📜 Key Legislation
1. Insurance Act (1971)
This foundational law governs insurance operations in Iran, detailin:
Calculation of damages in various insurance classe.
Indemnity procedures for life and personal accident insuranc.
Rights of insurers in cases of insolvency or bankruptc.
2. Social Security Law
This law mandates social insurance coverage for employees in Iran, encompassin:
Health insuranc.
Retirement pension.
Disability and death benefit Employers are obligated to register employees and contribute to premium.
🧾 Types of Insurance
✅ Mandatory Insuranc
Certain insurance coverages are compulsory under Iranian law, includig:
*Third-Party Liability Insurance: Required for all vehicles, covering damages caused to third partis.
*Social Security Insurance: Mandatory for employees, providing health, pension, and accident benefis.
*Employer Liability Insurance: Employers must insure their employees against work-related accidens.
🆓 Optional Insurane
Individuals not covered under mandatory schemes may opt or:
*Voluntary Social Security Insurance: Available for self-employed individuals and freelancrs.
*Private Health Insurance: Offered by private insurers for additional coverge.
*Life and Property Insurance: Optional policies for personal and asset protecton.
📈 Industry Oversight and Developments
Reinsurance Requirement: insurance companies must cede a portion of their business to the Central Insurance of Iran to ensure financial stabiity.
Capital Requirement: Insurance companies are mandated to maintain a minimum capital base, with specific provisions for foreign insurers operating in ran.
Consumer Protectio: Regulations are in place to safeguard the rights of policyholders, including provisions for indemnity calculations and priority in cases of insurer insolvncy.
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