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CCHI shuts down illegal insurance company.


JEDDAH/RIYADH: As a result of a complaint, the Council of Cooperative Health Insurance (CCHI) has frozen the activities of a private sector company which did not have an insurance license to operate in the Kingdom. The council found that the company had been issuing health insurance policies without an official license and also without health insurance cards normally issued to policy holders. According to the council, such companies issue fake policies and do not offer the required services. In a statement after the closure of the violating company, CCHI Secretary-General Mohammad Suleiman Al-Husain said the company had not maintained proper records of insurers who sought coverage with the establishment. The secretary-general said the council took the decision not only to supervise the functions of insurance companies in the Kingdom but also to discharge its responsibilities carefully and conscientiously and maintain the insured's rights and to regulate the health insurance sector through continuous supervision and effective control. Al-Husain said the council would not allow the closed company to resume operations unless it takes remedial measures to comply with the council's relevant regulations. He stressed that the decision to shut down the company did not affect in any way the interests of employers who obtained insurance policies before the date of closure. "We guarantee the insurance company will offer services to policy holders who were registered earlier." The official explained that the council is continually striving to develop the health insurance industry in Saudi Arabia in order to guarantee satisfaction of health insurance beneficiaries. The council has prepared a strategy for 2020. The strategy sets the road map and identifies both the medium and long-term goals of the Council, focusing on several projects and initiatives that contribute to the transformation and development of the health insurance industry. Al-Husain thanked Minister of Health and Council Chairman Khalid Al-Falih for his support in preparing the strategic plan for 2020, stressing the desire of the Secretariat General to carry out the project successfully and implement it effectively by making use of all potentials. "The basis for the success and integration of such a project is to form a team which follows up on the implementation of the study and ensures progress in the action plan and its stated schedules," he added. Recently, Al-Husain put up a webpage named Al-Diwan. The site provides many integrated services and was developed by the Administration of Information Technology at the Secretariat-General Supporting Technical Affairs. "The Secretariat General looks forward to providing services to its staff, thinking ahead in accordance with developmental plans that include making every effort to implement e-government and all fields of institutional work," he said, pointing out that these e-services set up by the Secretariat General are in line with the national plan for the e-government program.

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Publication:Arab News (Jeddah, Saudi Arabia)
Date:Jan 14, 2016
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