Industries ｜ Insurance, Mortgages & Claims ｜ Claims Management
OUR EXPERTISE
Empowering UAE's CMCs: Navigating FSRA Compliance with AZH
The Financial Services Regulatory Authority (FSRA) became the overseeing body for claims management companies (CMCs), focusing on elevating standards of conduct and enhancing consumer protection. Firms are encouraged to be reliable providers of high-quality services that assist individuals in pursuing valid claims for redress.
Authorised CMCs can leverage a compliance partner like Cosegic to align with the FSRA’s expectations and standards, and navigate any forthcoming changes. Firms not yet authorised to provide claims management services in the UAE must follow one of the designated pathways, based on their current authorisation status. Authorised firms should seek a variation of permission (VoP) to include 'claims management' as an additional permission. Unauthorised firms must submit a full application for authorisation prior to commencing business activities. We are equipped to assist with both pathways, ensuring you meet your regulatory obligations post-authorisation.
Do I need to be authorised as a Claims Management Company?
Key considerations for firms generating leads for Claims Management or Legal firms
Claims Management firms play a crucial role in supporting their customers to initiate claims against organizations across various sectors. When a claim pertains to areas such as personal injury, financial services or product issues, housing disrepair, specified benefits, criminal injury, or employment-related matters, the firm acting on behalf of the customer may need to secure authorization from regulatory bodies such as the Financial Services Regulatory Authority (FSRA) or the Dubai Financial Services Authority (DFSA).
Additionally, firms engaging in identifying, referring, or sourcing potential claims to direct them towards claims management services—activities commonly referred to as "lead generation" or "marketing"—also require authorization. This encompasses activities undertaken on behalf of regulated firms to assist customers, including:
- Marketing and advertising efforts aimed at discovering individuals who may have a claim.
- Referring information about a claim, potential claim, or claimants to another firm, irrespective of whether a financial transaction occurs for the referral.
- Identifying potential claims or claimants.
Such activities ensure that claims management services operate within the regulatory frameworks set forth by the FSRA and DFSA, maintaining high standards of consumer protection and ethical business practices.
If a firm carries on any of these activities without authorisation, then it would be committing a criminal offence. The FSRA has the ability to take enforcement action against any firm and individuals which conduct regulated activity without the correct authorisation.
- Data Management: Ensure lawful collection, storage, and usage of data. How does the firm plan to safeguard data privacy and adhere to data protection laws?
- Compliant Financial Promotions: How will the firm align its marketing and advertising practices with regulatory standards, including necessary disclosures?
- Vulnerable Customers: Identifying customers with specific vulnerabilities is crucial. What measures will be implemented to prevent foreseeable harm to these individuals?
- Robust Systems and Controls: What systems and controls are in place to prevent the pursuit of baseless or harmful claims?
- Ensuring Positive Customer Outcomes: How will the firm monitor and guarantee that customers benefit from its services, including providing suitable products, ensuring value, comprehending the claims process, and receiving adequate support?
Note: Given the unique nature of most business models, determining the specific authorization needs for a firm may necessitate tailored advice and guidance after defining the proposed activities.
HOW WE HELP
Authorisation & regulatory project support
We can assist Credit firms in ensuring full compliance with regulations, enabling them to confidently navigate the regulatory landscape while maintaining their strategic vision and objectives.
Authorisation & Applications
Our team has a deep understanding of regulations and collaborates closely with clients to ensure each application aligns with their business plan for a smooth approval process.
Consumer Duty
If you are an authorised firm looking to change your regulated activities, start a new business line or add new product/client types to your business line, we can support you with your variation of permission (VOP) application.
Change in Control
If you plan to acquire or enhance control over a regulated entity, you must submit a Change in Control (CiC) notification and obtain approval from the regulatory authority beforehand. Our team can help you with this process.
Wind-down planning
Regulated firms must understand the practicalities of winding down their business. We have extensive experience in guiding firms through this process.
Authorisations and application services
We can assist Credit firms in ensuring full compliance with regulations, enabling them to confidently navigate the regulatory landscape while maintaining their strategic vision and objectives.
Payment Services and Cryptoassets
Our team excels in regulatory expertise across traditional and challenger banks, e-money institutions, fintechs, and cryptoassets.
Authorisation & Applications
Our team has a deep understanding of regulations and collaborates closely with clients to ensure each application aligns with their business plan for a smooth approval process.
Insurance, Mortgages and Claims
We offer guidance to various clients in the insurance industry, including brokers, companies, managing agents, and intermediaries like motor dealerships and call centers.
Consumer Duty
AZH's seasoned Wealth Management Team utilizes their profound understanding to demystify complex regulations, offering clear guidance and interpretation.
Consumer Credit
We have alleviated the compliance load for lenders, brokers, and a vast range of consumer credit businesses across sectors such as motor sales, healthcare, agriculture, retail, training, and utilities.
Appointed Representatives
Need help with building a compliant AR network or maintaining your current one? Our services include annual AR reviews, monitoring, and development of AR frameworks. Contact us today to learn more.