Insurance companies should appoint an external auditor (member of the Lebanese Association of Certified Public Accountants – LACPA). Insurance companies who sell life insurance products should appoint an actuary.
There is an obligation upon the chairman of the board of directors of Lebanese companies, or the legal representative of foreign companies and all external auditors (appointed and resigned) to notify, each separately, if the external auditor resigns or stops performing his duties within a one month period. If his post remains vacant for more than two months, the MOET warns the company to appoint a substitute within a maximum period of one month. If the company fails to comply, it will be banned by a decision from the minister from issuing new policies or renewing old ones.
Legal references: Insurance Law, articles 17 and 18, paragraphs 4 and 5.