Insurance broker

Insurance broker

An insurance broker is any natural or legal person who acts on his own account of mediating between policyholders and insurance companies, with a view to having an insurance contract taken out. The broker is the agent of the insured and is responsible to him.
1. Legislative and regulatory references:

    Ordinance n ° 95-07 of 25-01-1995 amended and supplemented, relating to insurance, title III, chapter I, section 2 and 3, articles 252 and 252 bis, 258 to 268 (OJ n ° 13 of 08-03- 1995)
    Executive Decree n ° 95-340 of 10-30-1995 setting the conditions for granting and withdrawing authorization, professional capacities, remuneration and supervision of insurance intermediaries (OJ n ° 65 of 10-31 1995) amended and supplemented by executive decree n ° 17-192 of 11 June 2017 (OJ n ° 36 of 14-06-2017).
    Order of April 23, 2007 setting the list and forms of statements to be sent by insurance brokers. Application of article 261 bis of ordinance 95-07 amended and supplemented (OJ n ° 42 of 24/06/2007).

2. Forms of insurance brokerage practice:

Authorization for the exercise of insurance brokerage can be requested either by a natural person or by a legal person. The licensing conditions as well as the licensing file are different depending on whether it is one or the other form of brokerage practice.

a) Conditions for the authorization of natural persons:

    Have good character;
    Be at least 25 years old;
    Be of Algerian nationality;
    Possess one of the following professional capacity conditions:
        Whether for the granting of an insurance broker license (natural person) or manager of an insurance brokerage company, the applicant must hold a higher education diploma (baccalaureate level + two (2) years, at least) or a certificate as a senior insurance technician, and justify professional experience in the technical field of economic insurance, or in other similar fields with an insurance company or insurance intermediary, for a period of at least five (5) years.

By assimilated fields we mean the fields of commerce, marketing, IT, reinsurance, finance and accounting.

    Have a financial guarantee either in the form of a deposit with the treasury, as a surety, or a bank guarantee issued up to the amount of the guarantee fixed at one million five hundred thousand dinars (1,500,000.00 DA) for the insurance broker (natural person);
    Have premises for commercial use as owner or tenant, for the exercise of insurance brokerage activity;
    Be resident in Algeria.

3. Constitution and submission of the authorization file for natural person brokers:

    The approval file to be submitted either to the Insurance Department at the Ministry of Finance or to the Permanent Secretariat of the CNA must include:
    The request indicating the operation or operations of insurance that the broker proposes to carry out;
    An extract of the birth certificate;
    An extract from the criminal record n ​​° 3;
    A certificate of nationality;
    A certificate of residence;
    A written declaration from the applicant confirming that he does not exercise any professional activity, deemed by current legislation to be incompatible with the status of insurance broker, upon obtaining insurance brokerage approval;
    The certificate (s) of the required professional capacities;
    The required diplomas;
    Documents justifying the financial guarantees required (bank guarantee certificate or that of deposit issued by the treasury justifying the financial guarantees required);
    A copy of the deed of ownership or rental of the premises for commercial use.

b) Conditions for the authorization of legal persons:

    For managers of brokerage firms:
        Have good character;
        Be at least 25 years old;
        Be of Algerian nationality;
        Possess the same professional capacities as those required for natural person brokers.
        Reside in Algeria.

    For associates:
        Have good character;
        Be of Algerian nationality;
        Be resident in Algeria;
        Have for each of the partners the same financial guarantees as those required for natural person brokers (one million five hundred thousand dinars (1,500,000.00 DA) for each of the partners of the insurance brokerage company).

    The broker, constituted in the form of a legal person, must have a registered office as owner or tenant for the exercise of the activity of insurance brokerage.

4. Constitution and filing of the registration file for legal person brokers:

The approval file to be submitted