The Insurance Conduct Workshops held in Pretoria and Cape Town in December 2017 were very informative and provided a good update of the current and future regulatory landscape. Those unable to attend are advised to study the presentations published on the FSB website.
Below are some proposed implementation timelines, but this is dependent on what happens in Parliament.
- Financial Sector Conduct Authority: The move from FSB to the new FSCA is envisaged to be effective from April 2018.
- The Insurance Bill was passed by the National Assembly with a planned effective date of July 2018.
- The Conduct of Financial Institutions Bill will be published early in 2018 for comment with a view to tabling it in Parliament in the 2nd half of 2018.
- Tranche 1 PPR amendments and Tranche 1 Insurance Regulations amendments were published on 15 December 2017 and became effective on 1 January 2018.
- The planned effective date for Equivalence of Reward is 1 January 2018.
- The Third Party Cell Captive Insurance Position Paper was scheduled for 15 December 2017.
- Publication of a comment document on Adviser Categorisation and the “Two Tiers” product distinction is expected early in 2018.
- A report on a Short-term Insurance Intermediary Activity Analysis is expected early in 2018.
- Comments on Additional PPR and Insurance Regulations amendments in respect of Tranche 2 are expected to be called for in April 2018 with a possible effective date in July 2018.
Some of these amendments will have transitional periods but we will only be able to advise on this once the final versions are published.
I am no weather forecaster, but expect a turbulent year ahead.