Algeria: Compagnie Centrale De Réassurance to form TPA firm next year
Source: Middle East Insurance Review | Dec 2017
A third-party healthcare payment company will be created in 2018, allowing customers of insurers to access care and other medical services from private care institutions without paying in advance, said Mr Mohamed Seba, Director General of Central Reinsurance Company (CCR).
“The CCR initiated and piloted a project of a TPA (Third Party Administrator) company in Algeria, which will be launched in 2018, jointly with the four main insurance companies,” he told reporters on the sidelines of a seminar on insurance. The four Algerian insurers are the life and health insurance subsidiaries of CAAT (TALA), CASH (Algerian Life), SAA (Amana) and CAAR (CAARAMA).
The TPA company will constitute a link between insurers, private healthcare institutions (clinics, medical laboratories, imaging centres, etc) and the public. The company will set up a digital third-party payment management system to guarantee a “fluid, fast and concrete service”.
Separately, the Director of Insurance at the Ministry of Finance, Mr Kamel Marami, considered that the coverage of health risks in Algeria is still insufficient. He said: “The challenge is to design products and strategies that allow clients to integrate insurance as a reliable means of financial protection against the vagaries of life.”
In the last few years, the life and health insurance segment in Algeria recorded an average growth rate of 11%, which is higher than the insurance sector’s overall growth rate. However, it is necessary to strengthen this dynamism through product diversification, innovation and modernisation of business approaches, Mr Marami said. M