Insurance Regulatory and Control Authority (ARCA) of the Democratic Republic of the Congo (DRC) has issued a reminder of a “ban on direct insurance abroad” to anyone living on Congolese soil. The ARCA indicates that this decision was taken by the government following resolutions made during a meeting of the Council of Ministers on the fight against evasion of insurance premiums. ARCA’s decision is backed by the Insurance Code of 2015 which strictly prohibits the acquisition of direct insurance abroad for a risk concerning a person, property or liability located on Congolese territory, or with a company not approved by the ARCA.
The insurance regulator also underlines that the only operators authorized to carry out insurance operations in the DRC are those included on the official list which it publishes. The Insurance Code also states that any insurance taken out abroad in violation of the law exposes offenders to a fine of 50% of the premiums issued outside. For a repeat offence, the fine is increased to 100% of the premiums.