Board Notice 153 0f 2017, published on 1 September, contains the final proposals for comment by 2 October on the revised protection rules for short- and long-term insurance policies.
The information is contained in 6 different documents, of which one, a comments matrix, alone, consists of 337 pages.
Legalbrief today reports:
“Informed by a sector-wide commitment to aligning industry incentives with the principles of fair customer treatment, according to a National Treasury media statement issued at the time, their purpose is to guide short- and long-term insurance companies in providing ‘hard-working families’ with less complex, good-value products ‘to help … with unforeseen life events’, and the ‘uncontrollable shocks’ often resulting in ‘economic hardship and poverty’.
To that end, both sets of revised draft protection rules deal with: the products themselves (design, determining premiums, credit life insurance, cooling off rights, negative option selection, void provisions, the waiver of rights, and signing uncompleted forms); product performance and acceptable service; advertising and disclosure; intermediations and distribution; post-sale barriers; and administration. A comments matrix summarises stakeholder input on the first draft proposals. It should be read with short- and long-term insurance policy holder protection rules supporting documents, reflecting the line-by-line amendments envisaged.”
This is a huge amount of information to digest.
Billy Seyffert, COO of Moonstone Compliance and Risk Management, confirmed that the latest information will be incorporated at the Moonstone Regulatory Update Workshops being presented in September.
Click here for full details and registration.