On 18 November 2020 the Insurance Authority Board of Directors had issued Resolution No. (27) Concerning the Instructions for Licensing Insurance Producers where this type of insurance-related business was not previously regulated, which comes in terms of regulating all the insurance-related professions in the UAE, and it is coming also in light of marketing the insurance products depends on giving advice and recommendations stemming from practical experience by trained and specialized experts.
 
  First of all, it's worth mentioning that this decision has set a period of three months to reconcile the situation, thus, here are quick points that may concern you in this resolution;
 
 - No person shall practice the activity of the Insurance Producer unless licensed by the Insurance Authority and registered in the Register in accordance with the conditions and terms (will be set forth beneath), Then, the Insurance Company shall not deal with any Insurance Producer not licensed as just mentioned.
 
 - The Insurance Producers should not be one of the company s employees whom associated with it by a normal work contract.
 
 - The insurance company will still be responsible for the actions of the Insurance Product towards third parties.
 
 - The Insurance Producers should receive their commission once the insurance policy is issued.
 
 - The Insurance Producer is not entitled to fill out and sign the insurance application on behalf of the customer, nor he is not entitled to receive the insurance premiums and   of course - handing over the compensation.
 
 - For the citizens of the UAE, they will be permitted to market all types of insurance policies, and for not citizens, they will be permitted to market motor insurance and health/ medical insurance policies (the other kinds of policies need special permission).
 
 - For individuals, they should hold the following qualifications:
 
 For UAE citizens: a high school diploma, in addition to a course in insurance principles of not less than two (2) weeks.
 
 For non-UAE citizens: a university degree, in addition to a course in insurance principles of not less than two (2) weeks.
 
 But the most important is passing the evaluation which will be conducted by the IA for licensing, with exception of holders of professional insurance certificates.
 
 And regarding the entities, they must be a commercial company fully licensed in the UAE or in the free zone, as well as including the marketing insurance products within their duties in their commercial license or article of association.
 
 Anyway, this resolution is considered breaking new ground in the Middle East and is expected to be followed by the other legislations in the region.