KUWAIT CITY, Aug 17: The Insurance Regulatory Unit announced on Sunday the issuance of Resolution No. (19) of 2025 concerning the rules for issuing mandatory insurance policies in Kuwait, excluding civil liability insurance resulting from traffic accidents (compulsory vehicle insurance).

The decision comes as part of efforts to enhance transparency, protect the rights of policyholders, and strengthen the development of the local insurance market.

Head of the Insurance Regulatory Unit, Mohammad Al-Otaibi, said in a press statement that the resolution introduces several obligations for insurance companies. Among them is the addition of a declaration and pledge clause in the general conditions of the mandatory insurance policy, confirming that the insured or subscriber is fully aware of the terms, conditions, exclusions, and coverage limits.

The resolution also requires the inclusion of a QR code in insurance documents containing all relevant data. It further outlines the cases in which policies can be canceled, the mechanism for calculating refunds due to policyholders, and a clear basis for determining insurance premiums.

Al-Otaibi explained that the measure aims to facilitate document tracking through technological means, reduce fraud previously witnessed in the sector, and raise awareness of the rights and obligations of all market participants. He added that the decision also eliminates pricing disparities among companies by unifying the mechanism for calculating premiums, which is detailed in the resolution and its annexes, thereby reinforcing transparency between insurers and clients.

He noted that the QR code system will take effect 180 days after the resolution’s publication in the Official Gazette, allowing companies sufficient time to update their systems and comply with the new requirements. From the date of publication, however, all insurance companies are required to adhere to unified principles and standards when issuing mandatory policies.

According to Al-Otaibi, the annex to the decision also includes technical regulations for developing electronic systems, information security measures, and awareness guidelines for beneficiaries. These aim to ensure the integrity and safe use of electronic documents while preventing forgery or fraud attempts.

He stressed that the decision marks an important step in upgrading the infrastructure of Kuwait’s insurance sector and enhancing its efficiency in line with international best practices. The resolution, he said, will strengthen the protection of policyholders’ rights, support the national economy, and contribute to social stability in the country.