Algeria: Insurance sector looks to proposed new insurance law for reform
Source: Middle East Insurance Review | Mar 2026
Insurance professionals are optimistic that proposed amendments to Algeria’s insurance law will promote the industry’s development as the legislation moves closer to enactment.
The draft Bill was amended on the instruction of the Head of State, who specifically directed that the new text should “contain no loopholes” to prevent a recurrence of past practices that harmed the public treasury.
Industry executives hope that the legislative revamp would provide for the establishment of an independent regulatory authority dedicated to insurance, reported El Moujahid. Such an authority would be the first of its kind for Algeria.
The insurance sector expects the regulator to put an end to certain prohibited practices and “bring more rigour to the sector”, said Mr Hassan Khelifati, Vice-President of the Algerian Union of Insurance and Reinsurance Companies (UAR). The insurance industry also wants to see the law require co-insurance of major risks before insurers turn to the international reinsurance market. This is to reduce the flow of foreign currency out of Algeria.
Other measures are expected. These include the mandatory insurance of imported vehicles and new regulations concerning FinTechs and InsurTechs.
Mr Khelifati, who is also Chairman and CEO of Alliance Assurances, has himself suggested that mandatory insurance requirements be extended from Nat CAT to fire, liability and transport. He also proposed that external auditors ensure compliance with requirements concerning coverage periods and declared values in mandatory insurance. M