Liberalization of Insurance Sector in Democratic Republic of Congo: New Dimensions

Publié le 08/06/2015 Vu 4 726 fois 3

9 rue Léopold Sédar Senghor

14460 Colombelles

Liberalisation of the Insurance Industry in the Democratic of Congo is now a fact. The new Insurance Law of the Democratic Republic of Congo of 17th March 2015, replace legislation that goes back to the immediate post-independence period of the 1960s.

Liberalisation of the Insurance Industry in the Democratic of Congo is now a fact. The new Insurance Law of

Liberalization of Insurance Sector in Democratic Republic of Congo: New Dimensions

1. History of the monopoly policy of the national insurance in DRC

The ancient insurance law of the DRC instituted the monopoly on all insurance activities over the territory of the DRC. This was done through a public company known as “Société Nationale d’Assurances“ [SONAS].

The idea behind this was to put an end to the liberalization of the insurance activities that resulted in outflows of capital from the DRC to rich developed countries.

Despite this, SONAS did not perform and encountered enormous difficulties characterized in particular by the non-payment of wages, misappropriation of funds, the permanent state of tension and conflict between SONAS and brokers, etc.
Until the enactment of the new insurance law, this situation has remained unchanged, blocking the way for other private companies, to operate in the insurance sector in a country of over 70 million of inhabitants. 

2. From monopoly to liberalization of insurance sector in DRC

The Law No. 15/005 of 17 March 2015 on the code of insurance is finally available in the Democratic Republic of Congo [DRC]. It puts an end to the monopoly granted to SONAS, liberalized the sector and establishes an insurance regulatory authority in DR Congo. Its entry into force in March 2016, one year from the date of promulgation.

By devoting competition, the DRC puts an obligation to ensure the regulation and control of the market and the discipline of the operators, in the interest of policyholders, with the financial security offered by insurance companies. Hence, the creation of a Regulatory Authority and Insurance Supervision.
It is therefore appropriate to expect a significant mobilization of resources and better service to policyholders. We expect to see competition between companies in this area as the spirit is to comply with the rules.

3. The benefit of the liberalization of insurance in DRC

Insurance is one of the essential activities in economic and social development of modern countries.

The application of this law will certainly contribute to the safety of families and the survival of businesses by offsetting the consequences of accidents that threaten their property or the security of their income. Also it should be stressed that it will generate a collective savings which being invested in the service of the national economy, will greatly contribute to the development of the latter.

Moreover, legal certainty is, indeed, a major concern of investors and therefore a condition of the country's economic development and improvement of view of its citizens. This law comes to reassure investors about their legal security offered as part of the Insurance Code. The more investment, more economic development will ensure a positive impact on improving the living conditions of Congolese.

The peculiarities of insurance operations lead States to legislate in this area to impose a particular law relating to the insurance contract, and the mode of operation of insurance companies and their supervision by the authorities.
Insurance operations fall within the competitive sector of the economy and it is not desirable that the State there has a predominant part. However, it must set the conditions for new companies, including mutual insurance, could be authorized to practice insurance operations.

By liberalizing the insurance market ending the monopoly granted to the National Insurance Company, the state must assume its responsibilities regarding the regulation and control of the market and the discipline of operators in the interest of persons thanks to the financial security offered by insurance companies. Therefore, this Act provides for the establishment of a regulatory authority and insurance supervision.

4. What is in the new insurance law of DRC?

The new insurance law has over 500 articles, structured into seven books, applies to insurance and reinsurance operations carried out and in DR Congo but does not concern the insurance operations managed by social security.
However it applies to direct insurance and reinsurance operations subscribed by accredited companies in complement and after notice of guarantee by social security. In short, a legal instrument adapted to the both national and international realities

As said previously, this law is structured into seven following books:
-    Book I: insurance business; 
-    Book II: insurance and reinsurance undertakings; 
-    Book III: The institutional framework and state control; 
-    Book IV: general agents, brokers and other insurance intermediaries; 
-    Book V: Special insurance organizations; 
-    Book VI: accounting and tax regimes; 
-    Book VII: Transitional provisions, repeals and final.

5. In conclusion!

The insurance field is open to investors from all backgrounds, national and foreign, to benefit from this modern legal framework offered by the Insurance Code even more that this sector remains to this day immensely untapped.

Pending its entry into force in March 2016, SONAS has only a few months to adapt or disappear. The time it is installed as the Insurance Regulatory Authority in DR Congo.

Vous avez une question ?

Posez gratuitement toutes vos questions sur notre forum juridique. Nos bénévoles vous répondent directement en ligne.

1 Publié par Visiteur
25/02/2016 12:58


Do we have some companies which are already recorded/created in DRC as insurance operators? If yes please provide me with their names.

Many thanks in advance.

2 Publié par Visiteur
18/01/2017 17:25

i am not sure if there is a private insurance company in the DRC as yet. there are several other issues which wont make it possible such as the lake of the debit order from banks to banks and the lake personal bank accounts. more banks are heavy relying on the business account.
e.g standard bank in the DRC does not personal bank account but business account even so you need to have at least $ 10000 to have an account with them. this does not really promote the development of the country as far as the insurance companies are concerned. who of the renow insurace companies would want accept cash payment every month??

3 Publié par Visiteur
20/06/2017 07:12

Dear Sir,

Thanks for the article I found it most informative.

Would YAV & Associates be interested in doing an analysis of the potential for a foreign company to set up in the DRC?

Secondly, do you know where I could purchase the above 7 books? Unfortunately, I will need them in English or perhaps you could offer an English summary?

I look forward to hearing from you.

Unfortunately, our strategic intent is currently confidential and hence I am using my personal mail.


Publier un commentaire
Votre commentaire :
Inscription express :

Le présent formulaire d’inscription vous permet de vous inscrire sur le site. La base légale de ce traitement est l’exécution d’une relation contractuelle (article 6.1.b du RGPD). Les destinataires des données sont le responsable de traitement, le service client et le service technique en charge de l’administration du service, le sous-traitant Scalingo gérant le serveur web, ainsi que toute personne légalement autorisée. Le formulaire d’inscription est hébergé sur un serveur hébergé par Scalingo, basé en France et offrant des clauses de protection conformes au RGPD. Les données collectées sont conservées jusqu’à ce que l’Internaute en sollicite la suppression, étant entendu que vous pouvez demander la suppression de vos données et retirer votre consentement à tout moment. Vous disposez également d’un droit d’accès, de rectification ou de limitation du traitement relatif à vos données à caractère personnel, ainsi que d’un droit à la portabilité de vos données. Vous pouvez exercer ces droits auprès du délégué à la protection des données de LÉGAVOX qui exerce au siège social de LÉGAVOX et est joignable à l’adresse mail suivante : Le responsable de traitement est la société LÉGAVOX, sis 9 rue Léopold Sédar Senghor, joignable à l’adresse mail : Vous avez également le droit d’introduire une réclamation auprès d’une autorité de contrôle.

A propos de l'auteur

Le cabinet YAV & ASSOCIATES, est implanté dans trois villes de la RD.Congo dont Lubumbashi, Kolwezi et Kinshasa. Il a egalement un bureau de représentation en  République du Congo [Congo-Brazzaville]

Nous sommes heureux de vous présenter les informations concernant notre cabinet d'avocats ainsi que nos publications et recherches. -

Demande de contact
Image demande de contact

Contacter le blogueur


Inscription à la newsletter hebdomadaire
Retrouvez-nous sur les réseaux sociaux et sur nos applications mobiles