jordan pulse -
The Parliamentary Economy and Investment Committee, headed by Representative Omar Naber, reviewed the plans and vision for the economic modernization of the Central Bank, and its role in following up on troubled insurance companies.
At the beginning of the meeting, which was attended by Deputy Governor of the Central Bank, Ziad Ghanma, and executive directors Rana Tahboub, Maha Al-Abdallat, and Nidal Al-Azzam, Al-Naber stressed the importance of preserving the rights of individuals and citizens whose insurance companies have suffered loss and bankruptcy.
The bank called for the need to expedite the protection of citizens’ rights by stopping the work of companies operating in the field of insurance, and finding a mechanism to compensate them for the losses they suffered.
For his part, Ghanma stressed the role of the Central Bank in protecting citizens who subscribe to insurance services in troubled companies, through the bank’s methodology in dealing with the indicators present in the company in question.
He pointed out that there is a system that was recently introduced to review the compulsory insurance system, and it is concerned with addressing all observations in the insurance sector to avoid those observations or any problems facing citizens.
He pointed out that there is a tendency to a fund specialized in bankruptcy for insurance companies, which operates on the same system as the Deposit Insurance Corporation, but it needs to reach a strong sector through a strong corporate system so that the fund does not lose all its deposits in a short time, indicating that the bank is trying to reach preventive solutions before Bankruptcy of companies is being worked on.
In turn, Tahboub confirmed that all compulsory insurance issues have been reviewed to address negative applications, address the responsibilities of insurance companies, determine insurance premiums, the basis of insurance claims, and obtain independent compensation for the citizen when an accident occurs.
She indicated that new instructions have been prepared that include raising the capital of insurance companies to 8 million dinars, and another to 16 million dinars, to confront any risks and avoid bankruptcy of insurance companies.
She indicated that the liquidation of 4 insurance companies was announced due to accumulated losses out of 21 companies operating in the insurance field, indicating that the number of complaints from citizens who submitted claims or complaints reached 900 complaints, compared to 2000 complaints recorded last year.
For their part, the representatives, Tamam Al-Riyati, Adnan Mashouqa, Hayel Ayyash, Suleiman Abu Yahya, and Muhammad Marayat, stressed the importance of preserving the rights of citizens with insurance companies that have gone bankrupt, demanding that these companies stop working when a citizen is transferred to compulsory insurance.
They stressed the importance of controlling insurance, especially health insurance, when accidents occur, and turning to private hospitals, which cost insurance companies large additional sums.
The committee discussed the executive program of the Central Bank’s economic modernization vision and the initiatives and priorities for the financial services sector.
The bank’s achievements were discussed in the areas of enhancing financial inclusion, regulating and developing the insurance sector, enabling and expanding the financial leasing base, enhancing access to financing for micro, small and medium enterprises, deepening and expanding Jordanian financial markets, and providing an appropriate environment for the advancement of financial technologies and their innovations.
Dr. Nidal Al-Azzam indicated that the Central Bank is committed to implementing all initiatives and priorities within the executive program of the vision within the time frame specified for it in order to achieve its goals, pointing to the flexibility that the program enjoys regarding new developments in the national economy within the highest standards of governance and responsibility.
Petra