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Insurance Broker Licensing

What is the capital requirement for an insurance broker?

An insurance broker's own capital must not be less than a specific amount (e.g., 50,000 GEL) to ensure financial stability.

Is liability insurance mandatory?

Yes, brokers must hold professional liability insurance to cover potential damages caused to clients due to professional errors.

Can an individual be a broker?

No, an insurance broker must be a legal entity (LLC or JSC) registered with the Public Registry and the Supervision Service.

Difference between an agent and a broker?

An agent represents a specific insurance company, while a broker acts on behalf of the client, selecting the best conditions from the market.

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Insurance Broker Registration and Licensing: Intermediation in Insurance

Insurance broker activities in Georgia are regulated by the Insurance State Supervision Service of Georgia. An insurance broker is an intermediary between the insurer and the policyholder, acting in the best interests of the policyholder. To start this activity, registration with the Insurance State Supervision Service is mandatory. The legislation sets requirements for the broker's capital, professional liability insurance, and administrator qualifications. Brokerage activities without registration are prohibited. Lawyer assistance helps you quickly pass the registration procedure and ensure compliance with supervisory requirements.

What Does This Service Cover?

Specialists on Legal.ge offer full support in insurance broker registration:

  • Documentation Preparation: Preparing registration documents (charter, decision) and business plans.
  • Capital Verification: Legal assurance of meeting minimum capital requirements.
  • Liability Insurance: Selecting and arranging mandatory professional liability insurance policies.
  • Administrator Check: Checking director and founder documentation against suitability criteria.
  • Registration with Service: Submitting the application to the Insurance State Supervision Service and managing the process.
  • Reporting System: Consulting on mandatory financial and statistical reporting rules.

Common Situations When You Need a Lawyer

Registration and subsequent activity require legal knowledge:

  • Registration Refusal: The Service refused registration due to documentation flaws.
  • Client Dispute: A client disputes your selection of an incorrect insurance product that caused them damage.
  • Capital Insufficiency: You fail to meet capital requirements and need restructuring.
  • Insurer Relations: Dispute with an insurance company regarding commission payments.
  • Reporting Violation: You were fined for late reporting.

Georgian Legal Framework

The field is regulated by the Law "On Insurance" and the Order of the Head of the Insurance State Supervision Service "On Approval of the Rule for Registration and Cancellation of Registration of an Insurance Broker." These acts define capital amounts and mandatory insurance conditions.

Process: How Collaboration with a Specialist Works

The process includes:

  1. Consultation: Reviewing requirements.
  2. Preparation: Preparing documents and policies.
  3. Submission: Submitting the application to the Service.
  4. Registration: Receiving the registration certificate.
  5. Launch: Starting operations and first reporting.

Why Choose Legal.ge?

Insurance brokerage requires trust and transparency. Legal.ge connects you with lawyers who will help you start your brokerage business quickly and legally. Find a specialist on Legal.ge.

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Specialists for this service

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