Q: In accordance with SAMA regulations it is understood that everyone working in insurance companies have to be fully qualified in the insurance field. We are dealing with an insurance company, which does not have any suitable person in key positions. Not a single person is qualified in CII or IIA or any other recognized insurance institute. Therefore, we find it very difficult to achieve our targets to cover our assets and interests. How can you help us in this matter? A: Regrettably, this is the comment which I have been getting from various quarters. SAMA is a very good regulatory body and it has done a good job as far as the banking sector is concerned. As you have pointed out that your insurance company does not have qualified insurance managers, I am also not sure about the criteria SAMA is using to grant license to such companies. One more matter of concern is that there is an acute shortage of technically qualified and experienced personnel in the Kingdom. I am also made to understand that attached to SAMA is an insurance institution in operation and will be offering insurance related courses leading to some sort of technical qualification. SAMA may be making some of the qualification as mandatory for certain jobs, but it is yet to be formally announced. However, there is further scope for improvement. On covering your assets you should be following the principle of “Caveat Emptor” - let the buyer beware. In the current scenario the customer should be more aware of the insurance terminology and be able to understand his rights and obligations. Q: I am working for a consumer goods company. We are having a normal medical insurance. Our management has decided to switch our normal insurance to CCHI coverage even though it is not applied to us. I am also told by our accounts personnel that we will be having maternity cover under CCHI. In our previous policy, there was no maternity cover. I had enquired with one of the insurance companies for maternity cover but they informed me that there is a waiting period of 280 days for pregnancy to be covered. Is it the same for CCHI? Suppose my wife is pregnant, whether she can avail all the expenses for her treatment if we switch over to CCHI cover any time? A: Under the standard medical insurance, pregnancy is an exclusion and if at all someone purchases pregnancy cover then they are given a waiting period of certain days to rule our the possibility of pregnancy at the inception of cover. However, the CCHI wording has reduced the confusion and enhanced the coverage for maternity. If you are on a family status then you are entitled to have a maternity coverage. Fortunately, under CCHI there is no waiting period for maternity benefits and you will get the full benefit till the sum insured is exhausted from the date you enroll into the policy. The standard SI under CCHI for maternity expenses is SR10,000. * Shujaath Ahmed Khan, an MBA, General Manager, Creative Associates is also a consultant and an expert in Insurance, Investments and Real Estate. He can be contacted at [email protected], website-www.creativeassociates.blogspot.com __
