The Majlis ratified a law on Monday allowing foreigners to invest in Iran’s gradually growing insurance industry by buying shares of domestic firms, opening branches and corresponding offices in Iran. Foreign companies can also set up joint insurance companies. According to risknews.ir, the legislature also allowed the Agricultural Insurance Fund, affiliated to Bank Keshavarzi, to launch joint insurance firms with non-Iranian entities. Foreign firms were given such permission in the Fifth Five Year Economic Development Plan (2011-16), but now lawmakers have voted to make it law. The law recognizes the Central Insurance company of Iran as the main regulator for foreign collaboration in the key industry. Foreign insurers can own up to 49% stake in mainland firms and 100% ownership in the free trade zones.
