COTE D’IVOIRE Law and Practice Contributed by: Assemian Kouakou, Innocent Kouakou, Francky Lukanda and Lamine N’Diaye, Ofori Conseils Africa LLP
approval in accordance with the requirements of the Code. CIMA regulations also impose solvency and technical provision rules to ensure the financial sound- ness of the sector. Reinsurance operations are sub- ject to a framework specified by the Code and regu- lations aimed at strengthening regional capacities. In addition, the protection of insured persons is based on information requirements, compulsory insurance, governance rules and harmonised accounting stand- ards. Lastly, market participants must comply with anti-money laundering and counter-terrorist financing (AML/CFT) requirements, through CIMA and national mechanisms such as the National Financial Informa- tion Processing Units (CENTIF), in an environment marked by ongoing co-operation between national and regional authorities. The CIMA Treaty establishing an integrated organisa- tion of the insurance industry in African states was signed on 10 July 1992 in Yaoundé (Republic of Cam- eroon) by the governments of the following 14 mem- ber states: Benin, Burkina Faso, Cameroon, Central African Republic, Comoros, Congo, Côte d’Ivoire, Gabon, Equatorial Guinea, Mali, Niger, Senegal, Chad, and Togo. Within the meaning of Article 16 of the CIMA Treaty, the Regional Insurance Supervisory Commission is the regulatory body of the Conference. It is responsi- ble for supervising companies, ensuring general over- sight and contributing to the organisation of national insurance markets. 2.2 Writing of Insurance and Reinsurance In the CIMA zone, insurance business is open to any licensed insurance company, while reinsurance is reserved for authorised insurers, local/regional rein- surers and authorised foreign entities. Contracts must comply with the mandatory information requirements set out in Article 8 of the CIMA Code and the risk disclosure rules prescribed by Article 25 of the CIMA Code. Since 2024, the digital underwriting of insur- ance contracts has imposed stricter information and evidence requirements in accordance with Regulation No 01/CIMA/PCMA/CE/SG/2024. Consumers benefit from increased protections, includ- ing a right of withdrawal and enhanced information
requirements. SMEs are subject to the same reporting requirements, with risk-adjusted pricing. Companies may use more technical clauses, subject to rigorous assessment and compliance with the provisioning and solvency rules prescribed by Articles 334 to 337 of the CIMA Code. Under the CIMA framework, for “large risks” and “peak risks”, which range from insurance for oil plat- forms to power plants and port facilities, it is possible to reinsure 50% of these risks outside the CIMA area. Beyond that, authorisation from the ministry respon- sible for insurance is required. It should be noted that this restriction only applies to risks that CIMA consid- ers can be reinsured within the CIMA area; conversely, the five branches corresponding to very large risks ((i) railway vehicle bodies; (ii) aircraft bodies; (iii) maritime, lake, and river vehicle bodies; (iv) civil liability for air- craft; and (v) civil liability for maritime, lake, and river vehicles) can still be 100% reinsured abroad. On the other hand, “small risks” or “mass risks”, which include automotive/vehicle, accident, health, life, and capitalisation, cannot be reinsured abroad. Furthermore, reinsurance is subject to a specific regime including mandatory cessions to regional reinsurers and strict solvency control by the regula- tor. Excess of loss or excess of claims programmes are permitted but must comply with quota share and retrocession rules. 2.3 Taxation of Premium In accordance with Provision 422 et seq of the Ivorian General Tax Code, insurance premiums are subject to a specific taxation known as the Tax on Insurance Contracts (TCA), the rate of which varies according to the nature of the risk covered. Maritime, aviation and river insurance are taxed at a rate of 7%. Fire insur- ance is taxed at a rate of 25%, except for religious buildings, which benefit from a reduced rate of 12.5%. Motor insurance, civil liability insurance and most damage insurance policies covered by “other non-life risks” are taxed at 14.5%. Health insurance contracts are subject to a different regime: individual policies are taxed at 8%, while group contracts are subject to a reduced rate of 3%. Certain specific products, such
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