Qatar: Legislators call for Nat CAT insurance law
Source: Middle East Insurance Review | Jan 2019
Lawmakers have expressed the hope that legislation will be enacted soon requiring insurers to cover natural disasters, in particular the effects of rainfall, in the aftermath of the damage to property caused by the recent heavy rainfall that hit Qatar.
Citizens have called for the re-examination of the insurance system in the country to include insurance against natural disasters due to the heavy rains and the recent damage caused to buildings, cars and others, according to local media reports. For instance, currently, most of the insurers operating in Qatar do not cover the risks of rain in comprehensive motor policies because such coverage is optional and most customers do not choose to buy the additional cover.
“Many people are demanding that there should be compulsory insurance against natural disasters such as earthquakes, floods and storms, especially in view of the unusual climate changes that have occurred in Qatar and the countries in the region,” said Mr Juma al-Kaabi, a member of the board of the Lawyers Association. The current legislation lacks a clause which includes natural disasters among the events covered by insurance, he said.
Mr Majid Akel, general manager of Takaful General Company said, “In the case of insurance or hedging against rain damage caused to cars, we need a clause that addresses this in the insurance policy.”
He added, “Before the winter season, the company advises its customers to amend the insurance policy to include rain, with additional insurance to compensate for any damage.” However some customers agree to do so while others do not, he said.
Storms in Qatar in recent years have made roads impassable, and flooded homes and tunnels. M