Tasks of the Egyptian Pool for Travel Insurance
Dr. Mohamed Omran, Chairman of the FRA, issued decision No. 698 of 2021, to establish a Pool called the Egyptian Pool for Travel Insurance. The Pool is responsible for the management of travel insurance on passports issued by the Ministry of Interior affairs, and this is on behalf of the Pool’s members pursuant to the Pool’s statute. That has declared ten main tasks of the Pool. They are as follows:
1. The total premium of the insurance policy is set at 300 LE. The Pool may periodically review it, pursuant to the technical and actuarial studies prepared through the Pool’s Management Committee in this regard and the review shall be presented to the General Assembly, and no modification shall be considered into force until the opinion of the Ministry of Interior affairs has been taken and the Authority approves it.
2.Administration and Issuance of the travel insurance policy approved by the FRA for the benefit of members electronically, and collection of premiums and fees due for them.
3. Establishment, purchase, and/or rental of premises for the issuance of travel insurance policies, administration, and settlement of claims, and other works assigned to the Pool, and equipped them with furniture, machines, equipment, tools, and the appropriate communications networks.
4. Examine and study claims for cases submitted by the injured persons, their inheritors, their agents or health-care program management companies to determine the amounts of compensation payable to eligible persons pursuant to the insurance coverage requirements.
5. Determining the members' shares in the paid and outstanding claims and administrative expenses.
6. Preparation of data and statistics related to the accidents resulting from this type of insurance.
7. The Pool shall retain 25% of the net insurance premiums for compensation and other administrative expenses, after deducting 25% as collection expenses. The payments on the net premiums will be added by the Pool, which it has collected them to the authorities entrusted by the FRA. (6 per 1,000 as supervision and regulation fees + 1 per 1,000 as insurance policies accreditation and adjustment services + 2 per 1,000 of total direct premiums, representing the proportion allocated to the Policy Holder Rights Protection Fund), the Tax Authority, the Direct Selling association (relative Proportional stamp, customer share, company share), and specific tax.
8. Preparing a statement of the financial status and the joint account that includes the premiums distributed pursuant to the shares, deduced of them, what has been paid to members, expenses of all kinds and claims. In case of the deficit, all members are obligated to pay the deficit, within a period not exceed (30 days) from the date of the notification, provided that, this shall be done at quarterly intervals annually and communicated to members.
9. The Pool has the right to enter into reinsurance agreements with companies approved by the FRA.
10.The Pool has the right to preform agreements with health care companies to provide assistance and services and to follow up the compensation for members abroad, if necessary.
The Pool, pursuant to its statute, is responsible for the management of overseas travel insurance and compensation for the injured, according to the terms of the policy issued in this regard, in addition to the administrative and financial work related to the organization of work in this field among the members of the Pool, managing the joint account, and distributing each member’s share in premiums, compensation and costs