Insurers declaring dividends and the Prudential Authority penalty

By Donald Dinnie on April 14, 2023 Posted in Insurance

This blog was co-authored with Maano Manavhela, Candidate Attorney. In this case, the applicant (Eskom’s captive non-life insurer) applied to the Financial Services Tribunal for the reconsideration of a R5 million penalty imposed by the Prudential Authority. The insurer was fined R5 million for contravening the Insurance Act and two of the Prudential Authority Standards … Continue reading

Tribunal upholds Prudential Authority penalty for unrecorded loan & dividends directive

By Patrick Bracher (ZA) on October 15, 2021 Posted in Insurance

An October 2021 decision of the Financial Services Tribunal upholding an administrative order, a directive, and a penalty by the Prudential Authority is worth noting. The Tribunal held there was no basis for successfully challenging the penalty for an intergroup loan arrangement not recorded in writing and for unjustified dividends paid. A small licensed life … Continue reading

Financial Sector Regulation Act in force from 1 April 2018

By Patrick Bracher (ZA) on April 3, 2018 Posted in Banking, Insurance

Most sections of the Financial Sector Regulation Act 2017 were brought into force from 1 April 2018. This step was anticipated as the first step towards the commencement of the new Insurance Act on 1 July 2018. By a two-step process the Minister was empowered in a Gazette of 29 March 2018 to make regulations, which were passed … Continue reading