The Financial Services Authority has issued administrative decisions warning Muscat Insurance Company and Arabian Falcon Insurance Company for failing to comply with the 40% retention ratio of the net health insurance premiums pursuant to Article 9 of the Health Insurance Rules.

The move comes to emphasize the FSA’s keenness to enhance the financial sustainability of the insurance sector to stabilize the market and safeguard the rights of consumers. The compliance is a requirement that aim to support the local economy and enhance investments inside the Sultanate of Oman through providing liquidity to develop the health insurance sector and continuation of its growth as well as retaining part of the premiums inside the Sultanate to reduce reliance on external markets and enhancing financial stability to ensure rendering high quality insurance services.

FSA said it will continue  monitoring the performance of companies and taking the required measures in case of any breaches of the regulations governing the insurance market to achieve financial fairness and protect the interests of all stakeholders.