Egypt’s Financial Regulatory Authority (FRA) has raised the maximum age for microfinance insurance from 60 to 65 years as part of an updated standard group insurance model, according to a statement from the authority.

The decision, issued by FRA Chairperson Mohamed Farid, introduces a new framework for life and permanent total disability coverage for micro-project funding recipients. Decision No. 27 of 2026 replaces the previous Decision No. 16 of 2019, granting insurance companies and financing entities a six-month grace period to comply with the new regulations.

Under the updated model, insurance coverage may also be extended to individuals over the age of 65, subject to specific agreements between the insurer and the financing body.

The policy covers death from any cause and permanent total disability. Coverage commences on the date specified in the data provided to the insurance company and concludes at the end of the funding term.

The FRA has mandated that insurance companies must disburse claims directly to the contractor or the insured within five working days of receiving all necessary documentation.

Premiums are to be calculated based on the outstanding funding amounts held by the insured, excluding administrative fees, stamps, and policyholder fund subscriptions.

The contract defines permanent total disability as an incurable condition lasting six consecutive months that entirely prevents the insured from working. This includes the total loss of sight in both eyes, complete paralysis of arms or legs, or amputation.

The updated model excludes coverage for risks resulting from crimes committed directly or indirectly by the beneficiary, injuries from nuclear radiation, or cases of AIDS existing prior to the insurance start date.

Financing entities are required to pay insurance premiums within 30 days of the due date, with coverage subject to cancellation in the event of non-payment. Required claim documentation includes a national ID copy, an original death certificate or certified medical report proving disability, and an account statement showing the insured’s outstanding debt balance.

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