The End of Sign-on Bonuses in Sight
The whole messy business of institutionalised churning reminds me of the wise words of George Bernard Shaw: “A government that robs Peter to pay Paul can always depend on the support of Paul.” […]
Compliance and Legislation
Cybersecurity Joint Standard: Authorities announce likely commencement date
The FSCA and PA urge financial institutions to prepare for the standard’s implementation despite the provision for a transitional period.
Read moreClarity on Co-Administration Agreements
Information Letter 2 of 2014, issued on 29 August, provides clear guidelines on what co-administration agreements should contain, and what not. The Registrar of Long-term Insurance is concerned that certain existing agreements do […]
More on Healthcare Products Debate
Two recent articles in Business Day highlight the need for circumspection before implementing the demarcation proposals. The Board of Healthcare Funders (BHF) pointed out that the affordability of medical schemes is seriously hampered […]
Key Individual Qualification Requirement
From enquiries we receive it appears that there is much confusion about qualification requirements for the appointment of key individuals. Much of this stems from the so-called transitional period before 2010 when allowances […]
Stick to the Facts
When certainty is lacking, people often make assumptions. As we all know, to assume often leads to making an Ass of U and ME. Speculation about what the new regulatory environment will look […]
FICA and your FSB Licence
I recently spoke to a broker in the North-West Province who only conducts short-term business, but is also licenced for several other categories. This is quite common – many of those who applied […]
A Regulatory Paradigm Shift
The FSB has a new approach to regulation, in line with its additional obligations under Twin Peaks. Mr Jonathan Dixon, Deputy Executive Officer: Insurance at the FSB, reiterated the Regulator’s stance as late […]
Commission on Orphan Policies – Part II
Tony, a reader in Durban, was one of several people who responded to an article on this subject in the Moonstone Monitor of 24 July 2014: The issue of commission on orphan policies […]
Commission on Orphan Policies
What happens to the commission of intermediaries who resign, or whose contracts with product providers are cancelled? The latest FAIS Ombud newsletter contains an example which throws some light on the subject. Ombud […]
Fourth Ombud Ruling on RVA Fund
The office of the FAIS Ombud published its fourth determination against a financial advisor on Friday. In essence, it found that, in four all instances, the losses suffered by investors resulted from clients […]
Proposed Amendments to Insurance Binder Regulations
The National Treasury (NT) and Financial Services Board (FSB) requested public comment for the proposed amendments to Insurance Binder Regulations issued under the Short-term and Long-term Insurance Acts published in Government Gazette No. […]
Update on Retirement Reform Proposals
A recently published article on SA Government Online addresses public concerns “…fuelled by rumours that Government will take away people’s hard-earned pensions and prevent them from accessing their funds.” “These rumours are based […]
Credit Insurance under the spotlight
National Treasury and the Financial Services Board (FSB) published a document titled “Technical Report on the Consumer Credit Insurance Market in South Africa”. It called for comment by 30 September 2014 on proposals to address […]
FAIS Ombud Rules on RVAF Investment
The reasons for the sad ending to the Relative Value Arbitrage Fund, for both investors and advisors, are evident from this, the first determination by the Ombud on the Herman Pretorius saga. A […]
Draft Demarcation Regulations
Proposed amendments to the definition of a “business of a medical scheme” The publication of the Second Draft Demarcation Regulations follows the enactment of the Financial Services Laws General Amendment Act, No. 45 of […]
Duty to Disclose Material Terms
On Tuesday we discussed what happens when material changes occur in a client’s health between the time of applying for life cover and acceptance of the risk by the insurer. My colleague Julian […]
