Archive · 2 Aug 2025
UAE Central Bank Suspends Dubai Motor Insurance of Oriental
Imagine a car insurance company in Dubai called Oriental Insurance.
The UAE's Central Bank, like a financial referee, has stopped them from selling new car insurance policies.
This is because the company didn't follow all the rules about having enough money saved up.
This means they can't sell new policies, but they still have to handle the existing ones.
They're now in 'run-off' mode, meaning they'll manage the old policies until they expire.
The bank also denied them extra time to get the approvals they needed.
This is not the first time something like this has happened to an insurance company in Dubai.
UAE Central Bank suspended Oriental Insurance Company's motor insurance business in Dubai.
The suspension is due to the company's failure to comply with regulatory requirements, particularly solvency and guarantee rules.
Oriental Insurance's Dubai branch, operational since 1960, will move into 'run-off' mode, managing existing policies but not issuing new ones.
The company was required to deposit AED 100 million as a bank guarantee but was denied an extension.
This action follows similar moves by other insurers in the region.
- Who
- The Central Bank of the UAE and Oriental Insurance Company.
- What
- The Central Bank of the UAE suspended the motor insurance business of Oriental Insurance Company in Dubai.
- When
- The suspension occurred after the company failed to comply with regulatory requirements.
- Where
- Dubai, UAE
- Why
- Due to non-compliance with solvency and guarantee regulations.
Oriental Insurance
UAE Central Bank
Compliance with regulations
Oriental Insurance
Failed to meet the guarantee requirement.
UAE Central Bank
The regulatory requirements were not met.
- Company
- Oriental Insurance Company
- Location
- Dubai, UAE
- Reason for suspension
- Non-compliance with regulatory requirements
- Type of business affected
- Motor insurance
- Operational Status
- Run-off mode
- Bank Guarantee Required
- AED 100 million