South African Insurance Association

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A post-Section 45, Regulation 4, landscape

There have been several important developments with regards to a post- Section 45,Regulation 4, landscape, including that the Intermediaries Guarantee Facility Limited (IGF) will continue with normal business operations until at least the amendments to the Regulations of the Short-Term Insurance Act, 53, 1998 become effective.

Initially the Board of IGF resolved to cease operations on the 1st of July 2018, it then accepted effective date of the amendments to the Regulations. Following receipt of a recent communication from the FSCA confirming uncertainty around the date, the Board agreed that in order to facilitate an orderly transition to a post Section 45, Regulation 4, landscape, Intermediaries Guarantee Facility Limited will continue operations until at least the effective date of the amendments.

Further developments include a planned workshop with SAIA members on  the 12th of July 2018 and the formation of a Joint Task Team including representatives of the FIA to discuss ways of mitigating identified risks and overcoming practicalities that may arise after the amendments above become effective. It is expected that the Joint Task Team will meet shortly after the abovementioned workshop takes place.

For more information contact:
Charles Hitchcock