SAM Light Parallel Run Phase only four months away
One of the suggested components that the Light Parallel Run will expect of insurers and re-insurers is the compliance with the requirements of the Insurance Laws Amendment Bill (ILAB) which was anticipated to be in place by 1 January 2014, writes SAIA's SAM Project Manager, Gareth van Deventer.
In the report, he points out that the main objective of the ILAB is to act as a mechanism whereby insurers and re-insurers are able to build towards compliance with the final SAM requirements following a phased-in approach as well as to improve current shortcomings identified in the Short-term Insurance Act (Act No. 53 of 1998).
In a communique issued by the FSB on the 17 December 2013, mention was made that the ILAB process had fallen behind schedule and that the aforementioned implementation date would not materialize, he states.
The National Treasury (NT) is, according to information, pursuing processes to have the ILAB enacted by Parliament by July 2014. However, should the above not take place as desired, the FSB and NT will consider alternative methods of implementing these ILAB requirements in time for the Light Parallel Run.
Van Deventer says that comments received from the industry and that had been submitted to the NT on the ILAB are receiving the necessary attention and responses from the NT will be released to the industry for consideration once the NT has completed its review.
He says the "SAIA strongly encourages its members to continue with their preparations in order to comply with the ILAB requirements until further clarity has been obtained and that the association" SAM Project Support Office (PSO) will monitor developments surrounding the ILAB Project closely and report on progress and challenges encountered to its members.
Insurance Biz proudly displays the "FAIR" stamp of the Press Council of South Africa, indicating our commitment to adhere to the Code of Ethics for Print and online media which prescribes that our reportage is truthful, accurate and fair. Should you wish to lodge a complaint about our news coverage, please lodge a complaint on the Press Council's website, www.presscouncil.org.za or email the complaint to enquiries@ombudsman.org.za. Contact the Press Council on 011 4843612.
Leave a Comment