Protection for directors of state-owned enterprises, the lack of international reinsurance coverage in major construction projects, and coverage for cyber attacks were three main issues raised at the Partner's Day 2026 conference organised by state-owned Compagnie Algérienne des Assurances (CAAT) on 12 May.
In his opening remarks, the company’s CEO, Mr Nacer Sais, commenting on D&O Liability insurance, pointed out that under the Penal Code, directors and executives of state-owned enterprises face the threat of criminal prosecution for any management decision that might be challenged after the fact. This has led to situations where directors and management avoid making decisions, and consequently, investments that do not materialise and opportunities are missed. Yet, in Algeria, D&O insurance remains a marginal business.
He addressed the issue of decriminalising board decisions to shift management errors from criminal to civil jurisdiction, according to local media reports. "The enthusiasm for directors' and officers' liability insurance will grow with the decriminalisation of management decisions,” he said.
Major projects: why international reinsurers are absent
The second issue concerns the difficulties in insuring mega-infrastructure projects, traced to the National Technical Control of Construction Centre (CTC), which is not recognised by international reinsurers. The CTC oversees construction projects from design to execution. Without recognised technical validation, foreign reinsurers refrain from participating in the infrastructure projects. In practice, this means that these projects either do not find adequate coverage or find it under conditions that penalise the project owner.
The new insurance Bill offers a solution to fill this gap: making 10-year liability insurance mandatory from the first day of construction, rather than upon completion of the project. This shift in timing allows reinsurers to become involved in projects during the construction phase, to assign their own engineering firms for technical monitoring, and thus to validate the site's compliance themselves. This key to accessing international financing is essential.
Cyber attacks
The third issue highlights the gap between actual risks and existing coverage in the cyber arena.
Mr Tarek Mahbouli, Vice President for North and West Africa at Marsh, pointed to the market response, which is to offer coverage of both digital losses and physical repercussions in a single contract. The market is currently experiencing a period of pricing flexibility, making now a favourable time to purchase these policies at reasonable rates—before claims experience forces them to close.
Taken together, D&O insurance for directors and management, anticipated changes to decennial liability insurance policy for construction projects, and dual-coverage cyber policies—are not merely technical adjustments. They reflect a deeper repositioning: insurance as a tool of economic policy, not as an administrative obligation.