WHEREAS, the insurance sector plays an important role in economic development through providing insurance coverage against risks, the provision of alternative means for savings and mobilization of financial resources from within and outside the country;

WHEREAS, to ensure the reliability and stability of the insurance sector, it has become necessary to put in place a comprehensive legal framework;

NOW, THEREFORE, in accordance with Article 55(1) of the Constitution of the Federal Democratic Republic of Ethiopia, it is hereby proclaimed as follows: