Oman: FSA confirms no approval for vehicle insurance premium increase
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Muscat: The Financial Services Authority (FSA) has dismissed circulating social media rumours claiming a hike in the minimum prices of vehicle insurance premiums in Oman.
In a statement issued on Wednesday, the Authority clarified that it has not approved any increase in minimum insurance tariffs and continues to monitor pricing to ensure stability within safe and appropriate limits.
The statement said that the FSA is committed to maintaining the principles of a free market where insurance premiums are determined by supply and demand, company performance and portfolio profitability.
It added that competition in the sector is sufficient to regulate fair pricing and any tariff changes by insurers must be justified and reported to the Authority in advance.
The clarification follows the circulation of an alleged “official notice” claiming that the minimum third-party motor insurance premium would be raised to OMR 65, effective August 1, 2025. The notice, purportedly issued in coordination with the Association of Insurance Companies, claimed the decision was based on an actuarial study of the motor insurance market.
The FSA confirmed that no such approval has been granted and urged policyholders and the public to rely only on its official social media channels for accurate updates about the insurance sector.
The Authority reiterated its role as the regulator and supervisor of Oman’s non-banking financial sector and assured that it will continue to ensure fair and competitive practices in the insurance market.
