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Muscat Insurance Company responds to FSA warning on health insurance regulations

Muscat Insurance Company has issued a disclosure on the Muscat Stock Exchange (MSX), addressing a recent warning from the Financial Services Authority (FSA) regarding its health insurance activities.

TAS News Service

info@thearabianstories.com

Tuesday, March 25, 2025

MUSCAT : The warning was issued pursuant to Administrative Penalty Resolution No. 3/2025, based on Article 9 of Decision No. 78 of 2019, which governs the retention of net health insurance premiums within the Sultanate.

In response, Muscat Insurance Company informed its shareholders that it had reached out to the FSA for a review of the decision and provided a detailed clarification of its business model.

“The company contacted the Financial Services Authority, requesting a review of its decision and clarified its position in a letter, which stated the company’s portfolio is divided into a local insurance product that provides medical services within the Sultanate, with a retention rate of 100%, and a global product that offers medical services outside the Sultanate,” stated the disclosure.

However, the FSA rejected the request and instructed the company to rectify its position.

In response, Muscat Insurance has initiated contact with reinsurance companies to ensure its global product aligns with the FSA’s compliance requirements.

“The Company also confirms that the warning will have no negative impact on the conduct of its other insurance activities, which will continue as normal. The Company reaffirms its full commitment to complying with all applicable laws and regulatory requirements, in line with its dedication to sound governance and operational integrity,” the disclosure concluded.

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