The Council of Cooperative Health Insurance (CCHI) has warned insurance companies involved in issuing “bogus” insurance certificates that, should their illegal practices continue, their licenses will be withdrawn, a local newspaper quoted CCHI spokesman Naif Al-Rifi as saying. This illegal practice is intended to help expatriates easily renew their residency permits by paying SR500 for each fake certificate that is essential to their permit renewal process.

The license suspension of any violating company will not be lifted unless a team of the CCHI visits the company and makes sure that the company has corrected its position and implemented measures to ensure its compliance with CCHI systems and regulations. Overall, the company must rectify the remarks upon which the suspension was built, Al-Rifi said.

He noted that the suspension period varies between violating companies, depending on the extent to which the company is responsive to remarks made by the CCHI teams.

Al-Rifi said that the CCHI has been receiving many complaints regarding insurance claims in recent months, including the non-coverage of claims, hardship during financial claims, the absence of insurance for family members (Saudis or non-Saudis), issues regarding the number of family members entitled for insurance, and difficulties regarding partial or full payment of insurance costs by employees for their dependents.