South African Insurance Association

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The Review of the Financial Sector Code Update- SAIA Bulletin April 2019

The Financial Sector Transformation Council (FSTC), formerly the Financial Sector Charter Council, is in the process of reviewing the Financial Sector Code (FSC) as per the requirement under Statement FS-000, par 12 of the Amended FSC, gazetted in December 2017. This process is being driven and overseen by the FSTC, through participation by the FSTC constituencies representatives – Organised Labour, Community, Business and Government: both the Department of Trade and Industry (DTI), National Treasury NT.

SAIA’s role in the review process is to make submissions to the various sub-committees in line with the SAIA Transformation strategy document, as adopted by the SAIA Board in 2017. This strategy was a response to the feedback from representations to the joint parliamentary seating on the enquiry on Transformation of the Financial Sector that took place in 2017. SAIA therefore is in a favourable position in that groundwork had already been done to inform the industry positions on all elements of the Code and how they should impact transformation of the Non-Life Insurance Industry. In addition to this role, SAIA representatives are also available to review other constituencies position papers and prepare industry responses on areas impaction the Non-life Insurance industry.

Most of the Sub-Committees are close to finalising the deliberations on the review and drafting consolidated recommendation papers to be submitted to the FSTC Reporting Working Committee for consideration before submitting to the NT and the DTI for endorsement and approval, respectively. Draft recommendations will be circulated to SAIA members for comments and within the extremely tight deadlines, as the FSTC is expected to complete the process before the end of June 2019.

For more information contact: Zanele Gigaba, SAIA Transformation Manager: