Kuwait establishes a dedicated panel for revamping insurance laws and regulations
Kuwait Announces Committee to Modernize Insurance Legislation
Kuwait is taking significant steps towards modernizing its economic legislation, with a particular focus on the insurance sector. The latest development is the formation of a committee tasked with proposing necessary amendments to the insurance laws and preparing draft legislation for submission to the relevant authorities.
The committee, chaired by Court of Appeal Advisor Mutlaq Al-Mutairi, is a collaborative effort involving key figures from various sectors. Court of Appeal Advisor Ahmed Al-Rashidi serves as vice chairman, while Judge Fahd Al-Awad from the Minister of Justice's Technical Office, Brigadier General Khaled Al-Adwani representing the Ministry of Interior, and Talal Al-Muharib and Dana Al-Kandari from the Insurance Regulatory Unit are also members.
The committee's mission is to create a comprehensive legal system that defines the rights and obligations of all parties in insurance relationships, in line with international best practices. This system aims to promote justice and build confidence in Kuwait's insurance industry, ensuring that the sector remains robust, fair, and internationally competitive.
The committee's work is part of a broader government plan to modernize economic legislation, enhance the business climate, and strengthen legal protections for all stakeholders in the insurance sector. The goal is to update the legal framework to keep pace with regulatory and economic changes, as stated by Minister of Justice Counselor Nasser Al-Sumait.
The national legal reform program also aims to modernize laws to improve the business environment, enhance procedural efficiency, and attract investment by aligning with global standards. This supports Kuwait’s Vision 2035 strategy to become a regional financial hub.
Economic courts laws are under review as part of the reform, which will impact dispute resolution frameworks relevant to insurance and commercial cases, facilitating faster and more transparent adjudication. The reforms also include expanding alternative dispute resolution mechanisms such as mediation and arbitration that are highly relevant to the insurance sector.
While no single reform explicitly focuses on the insurance law, these broad, interconnected legislative modernization initiatives constitute a significant advancement in the legal landscape affecting Kuwait's insurance sector and related economic laws. The committee's mandate includes reviewing and assessing all existing insurance laws, covering all forms of insurance in Kuwait, including compulsory and supplementary vehicle insurance, real estate and movable property insurance, fire and disaster coverage, civil liability, life insurance, and insurance related to business and economic activities.
The committee's work does not include promoting any specific website, Instagram, or Facebook page. The ongoing efforts to "Kuwaitize" the judiciary by 2030, replacing foreign judges with qualified Kuwaitis, aim to localize expertise within the judicial system, potentially affecting the handling of economic and insurance sector cases through improved culturally and contextually aware decision-making.
In August 2025, Kuwait's Cabinet approved legislative reforms focused on strengthening the protection of public funds, which implies stricter oversight and penalties relevant to economic sectors including insurance. This includes criminalizing fraud, corruption, and false information submissions, which are critical to maintaining integrity in insurance operations.
The committee's work is expected to support better regulation, enforcement, and dispute resolution relevant to the insurance industry within Kuwait’s economic legislation framework.
The committee's work within Kuwait's economic legislation framework involves reviewing and proposing necessary amendments to insurance laws, which falls under the business sector and may require a better understanding of finance to ensure the proposed reforms align with international best practices and the country's Vision 2035 strategy to become a regional financial hub.
The committee's mandate includes assessing existing insurance laws related to various forms of insurance, such as business and economic activities, which highlights the importance of understanding both the business and finance aspects to create a comprehensive legal system for Kuwait's insurance sector.
