To operate in the insurance sector in the DRC, one must be incorporated as a company under Congolese law.
1. Conditions of approval for undertakings governed by Congolese law
Every application for approval submitted by an undertaking governed by Congolese law shall be submitted in five copies and shall include:
- A list of the branches which the undertaking proposes to carry on;
- Where appropriate, an indication of the foreign countries in which the undertaking proposes to operate;
- One of the duplicates of the authentic instrument of incorporation of the undertaking or a copy of a consignment;
- The minutes of the constituent general meeting;
- Two copies of the articles of association, a certificate of bank deposit and the bank statement recording the payments made to pay up the share capital or the establishment fund;
- The list of directors and managers as well as any person called upon to perform equivalent functions with the surname, middle name, first name, domicile, nationality, date and place of birth of each of them;
The persons mentioned above shall be required to produce an extract from their criminal record dated less than three months ago or an equivalent document issued by a competent authority. In addition, if they are of foreign nationality, these persons must comply with the provisions of the laws and regulations relating to the aliens police;
- A program of activities comprising the following items:
- A document specifying the nature of the risks that the company proposes to insure;
- Two copies of the policies and printed material for public distribution or publication for each of the classes of business for which approval is sought;
- Two copies of the tariffs for each of the classes of business for which accreditation is sought.
2. Approval of executives
To be eligible for the position of officer, applicants must hold either:
- A post-graduate or university degree in insurance or actuarial science and at least ten years’ experience as a senior manager in an insurance undertaking, insurance organization, insurance brokerage firm or insurance supervisory authority;
- A higher or university degree in economics or law with at least ten years’ experience as a manager in a financial undertaking;
- A higher education diploma or university degree with at least ten years’ experience as a manager in a company or administration.
3. Share capital of the insurance or reinsurance undertaking Art 295
Depending on the type of authorization sought, insurance or capitalization undertakings constituted as public limited companies and having their head office in the territory of the DRC must have the following minimum capital:
- 10,000,000,000 Congolese francs, not including contributions in kind, for undertakings which enter into commitments the performance of which depends on the length of human life or which call on savings for capitalization and enter into specific commitments in exchange for one-off or periodic, direct or indirect payments;
- 10,000,000,000 Congolese francs, not including contributions in kind, for insurance undertakings of any kind, including undertakings carrying on assistance activities and other than those referred to in the preceding point.
However, in view of the operations that insurance and capitalization undertakings intend to carry out and the forecasts of their commitments, the Insurance Regulatory and Supervisory Authority may require the constitution of a share capital higher than the aforementioned minimum.
Each shareholder is required to pay up at least half of the amount of the shares in cash subscribed by him before the final constitution.
The balance shall be paid up within a period not exceeding six months from the date of registration in the Trade and Personal Property Credit Register, according to the conditions laid down in the Articles of Association or by a decision of the Board of Directors.
4. Mutual insurance companies
Mutual insurance companies, depending on the type of authorization applied for, must have the following minimum fund of establishment:
- 3,000,000,000 Congolese francs, not including contributions in kind, for undertakings which enter into commitments whose performance depends on the duration of human life or which call on savings for capitalization and enter into specific commitments in exchange for one-off or periodic, direct or indirect payments;
- 3,000,000,000 Congolese francs, not including contributions in kind, for insurance undertakings of any kind, including undertakings carrying on assistance activities and other than those referred to in point 1° above.
It should be noted that authorization is granted at the request of the undertaking, for operations in one or more classes of insurance. The undertaking may carry on only those operations for which it is authorized.
Authorization is granted by classes of business, namely:
- Fire, accidents and miscellaneous risks;
- Life insurance.
Contact:Contact: Autorité de Régulation et de Contrôle des Assurances (ARCA) (InsuranceRegulation and Control Authority)
16, Av. Pumbu, Kinshasa/Gombe.
Democratic Republic of the Congo