New legislation for takaful insurance

The Central Bank of Bahrain will submit to insurers a new bill governing takaful insurance. The new legislation will provide better protection for consumers by focusing more closely on company fundamentals and ensure that no abuses will be done at the detriment of policyholders. The authorities believe that this change will attract more insurers to this segment and sustain growth. The new legislation will be in force after this consultation with insurers, next June 30 at the latest.