CDH flags compliance risks in replacement policy advice
The law firm says recent FAIS Ombud and Tribunal decisions highlight disclosure, suitability, and record-keeping failures in replacement policy cases.
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Umboneleli Womngcwabo unyusa izigwebo ezilishumi elinambini (12) ze-FAIS Ombud ngokuchasene nayo
I-FSCA yarhoxisa ilayisenisi ye-Luvuyo’ kwinyanga yeThupha emva kokuba uthotho lwezigqibo lufumanise ukuba le nkampani ayiphumelelanga ukuhlawula amabango kwaye yasebenza ngaphandle kombhali ongaphantsi.
Labour Court overturns CCMA’s reinstatement of wealth manager
Failing to follow FAIS-mandated policy-renewal procedures and poor record-keeping constituted a serious regulatory breach that justified dismissal.
Funeral provider racks up 12 FAIS Ombud rulings against it
The FSCA revoked Luvuyo’s licence in August after a string of determinations found the firm failed to pay claims and operated without an underwriter.
Luvuyo Burial hit with three more Ombud rulings over unpaid funeral claims
The funeral provider has faced repeated determinations this year after failing to settle valid claims.
More FAIS Ombud determinations against funeral provider
Luvuyo Burial and Consulting did not pay the claims in full even after the Ombud’s Office intervened.
FSCA suspends FSP’s licence after third Ombud determination
The beneficiaries waited months to be paid their funeral policy benefits, but they received only partial pay-outs despite undertakings to the contrary.
Grace period doesn’t prevent insurers from rejecting a claim
Some insurers send SMS or email reminders, but it is the policyholder’s responsibility to ensure that an overdue premium is paid.
FSCA aligns waiting periods for funeral policy benefits across insurers
Microinsurers are no longer restricted to imposing a waiting period of three months for a death, disability, or health event resulting from natural causes.
Ombud finds fault with ‘negative-option’ selection at inception stage
The consultant should have provided the available options to the insured and left it to the insured to decide which category best suited his business.
