SA Insurance Firms To Face Investigation |
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4 September - A scandal is brewing for certain SA insurance companies who appear to have contravened the regulations stipulated in the Long Term Insurance Act thanks to some very dodgy dealings in the consumer credit insurance market. Both the South African Insurance Association and the Life Offices' Association have announced a probe to look into members' activities. A panel has already been appointed to investigate the matter, and the hearings will be convened publicly with consumers encouraged to come forward with any relevant information. It has long been murmured that kickbacks and various corrupt marketing schemes were rife in this sector, and now a top official of the Life Offices' Association, an individual who heads up an insurance company, is apparently at the center of the storm. We reported on this matter a while back whereby motor car dealers receive excessive commissions, that are far higher than the maximum allowed under insurance guidelines, when they refer consumers to their favourite insurance provider. Public hearings will be necessary to restore consumer confidence, and one can only hope that the SAIA and the LOA can clean their own house and weed out the few bad apples that are giving the insurance industry a bad name. Related Insurance Articles: * Life Insurance Firms Scramble For Africa * New Car Insurance Policy Offered By Santam * Hillary Clinton Promises Health Insurance For All * Sanlam Posts Strong Results For Now * Dial Direct Offers 4x4 Short Term Insurance * New SA Insurance Company Launches * Car Insurance Claims In SA Rise Sharply * SA Eagle Now Part Of Zurich Financial Services Group 
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| 3/14/2010 7:06:33 AM | |||||||||||||||||||||
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