As part of efforts to improve its image as a tourist destination and boost travellers’ confidence, Egypt is considering the introduction of a law mandating compulsory insurance for foreign visitors. The policy would cover personal accident, total disability and death, along with treatment for medical expenses.
The issue of mandatory insurance has become much more acute over the last couple of days, after two British tourists died in a Red Sea resort, leading travel operator Thomas Cook to remove all its customers from the hotel in question. However, the issue has been bubbling for a while, as a number of countries in Africa, Asia and the Middle East have reported violent incidents involving tourists over the last few years.
Egypt’s Financial Regulatory Authority is in the process of conducting a study that will compile data involving such incidents; it will be completed by the middle of September, according to Vice-Chairman Reda Abdel Moaty, and used ‘to determine the value of premiums and collection methods’. A major international insurer may then be selected to deliver the insurance via a tender through the FRA.
Over seven million tourists travelled to Egypt over the last 10 months, largely from European source markets.