Egypt’s FRA Clears Two AI Insurance Projects for Regulatory Sandbox

Egypt's Financial Regulatory Authority (FRA) has granted preliminary approval for two artificial intelligence-driven insurance projects to enter its regulatory sandbox, where they will test customer-facing technologies in a controlled environment.

The first project, submitted by EG InsurTech for Electronic Applications, Systems and Software Services in partnership with Assurex Insurance Brokerage, will pilot Ameen, an AI assistant designed for insurance platforms. The second, submitted by Allianz Egypt Insurance in collaboration with Olimi, will test an AI-powered voice agent and chatbot platform aimed at improving customer interaction and service delivery.

According to Islam Azzam, Chairperson of the FRA, the authority is supporting the adoption of AI and financial technology across non-banking financial services through a regulatory framework designed to encourage innovation while safeguarding market stability and consumer rights. He added that AI tools can help insurers better understand customer behaviour, preferences and product demand, improving both service quality and customer engagement.

Ahmed Khalifa, Executive Director of the FRA Sandbox, said the latest approvals bring the number of initiatives accepted in principle since the sandbox's launch to seven within a single year. He added that the sandbox is intended to accelerate digital transformation, strengthen financial inclusion and improve the efficiency and accessibility of financial services.

Before these approvals, the FRA had admitted five other initiatives covering insurance, digital microfinance brokerage and digital identity verification. Since launching the sandbox, the authority said it has provided regulatory guidance to around 40 companies, alongside workshops and technical support to promote cybersecurity and digital transformation across Egypt's non-banking financial sector.