Wethaq Takaful Insurance intends informing Egyptian Financial Supervisory Authority with the latest amendments of fire insurance policy, except in marine insurance sector, to be approved in accordance with the unified conditions set by Insurance Federation of Egypt.
These amendments include that the company is not obliged to inform the insured with the end- date of insurance policy, therefore the Company will not cover the insured after that date. This will apply unless the insured sends a written notice demanding renewing the policy.
The amendments also state the possibility of extending coverage against additional risks through paying an additional premium that is explicitly expressed in the policy. The additional coverage extends to risks of pressured devices explosion, riot, civil disturbance, terrorism, sabotage, natural disasters, civil liability, profit loss caused by drop in revenues and planes and vehicles collision or crash.
In case of transferring the insurance coverage to another through inheritance or legacy, the new insurance policy holders will be given a two-month grace period to inform the company or otherwise the contract will be cancelled.
The contract will be cancelled without giving notice, if the building’s nature of work is changed, work stopped for three successive days, insured properties are moved to another place or changes are implemented in the insured building or the properties.
After each accident, the insurance value will be reduced with the value of losses compensated. The insured can demand increasing the insurance value after paying an additional subscription.
The amendments are also extended to the liabilities of the insured before and after accidents and to the rules of claims settlement.
Wethaq Takaful Insurance Company achieved EGP 91.5 million in the volume of premiums, while compensations reached EGP 54 million in FY 2010/2011.