Two pivotal regulations required for the implementation and administration of the Insurance Act have been officially published in the Government Gazette, marking a major step forward for the nation's financial landscape.
The newly enacted frameworks—the Regulation on Insurance (Domestic Risks) and the Regulation on Insurance (General Provisions)—aim to establish robust standards, protect policyholders, and foster a competitive insurance market.
The Regulation on Insurance (Domestic Risks) formally defines what constitutes a domestic risk and establishes clear guidelines for exceptions. Specifically, it outlines the criteria under which individuals or entities may apply to the regulatory authority for exemptions from the mandate to secure insurance coverage exclusively from licensed companies operating within the country.
Meanwhile, the Regulation on Insurance (General Provisions) addresses critical operational facets set forth in the Insurance Act. Key components include defining the legal scope for entities permitted to solicit insurance business, establishing rigorous criteria and application procedures for insurance broker licenses, and detailing the protocols for administrative actions.
Administered and enforced by the Maldives Monetary Authority (MMA), the broader legislative framework stems from the Insurance Bill ratified by President Dr Mohamed Muizzu in August 2025. Under the Act, the MMA is empowered to regulate and supervise all insurance businesses and intermediaries, requiring all industry participants to hold a valid MMA-issued license.
The new law is designed to align industry operations with safe, high-quality standards, ultimately tailoring insurance services to public needs while driving broader economic growth in the Maldives.