THE Insurance and Pensions Commission has launched a blitz on unregistered insurance agents and fake insurance cover notes, a senior IPEC official said.
The operation is being conducted by IPEC in conjunction with the Zimbabwe Republic Police and more than 12 unregistered agents who tout at Post Offices and Zinara offices have been arrested and convicted. IPEC deputy commissioner Pupurai Togarepi told the Herald Business yesterday that the commission’s objective is to protect the insuring public from buying fake insurance.
“We are carrying out a blitz to bring to book unregistered insurance agents and fake insurance cover notes. We are being supported by ZRP in this effort and since Monday more than 12 unregistered agents who tout at post offices and Zinara offices have been arrested and convicted.
“Our objective is to protect the insuring public from buying fake insurance cover and in the process lose their assets in the event of a loss as insurers will not honour such a claim,” said Mr Togarepi
“Secondly, the law is clear that no individual or company is allowed to transact insurance business without being registered with IPEC. It is therefore our duty as the insurance regulator to deal with these criminal elements and protect the industry from such illegality,” he said.
Mr Togarepi said the insurance touts had become a nuisance to people who visit post offices. He said the blitz has no financial benefit that accrues directly to IPEC but there is more to the economy as people will now buy insurance cover from registered players who will then channel the premiums into the mainstream financial system.
Mr Togarepi said this will increase liquidity and stability of the financial services industry. He said the blitz will make sure the insuring public being prejudiced by bogus agents will now receive proper insurance cover for their assets. Mr Togarepi said the operation will protect duly registered insurance players from unfair competition brought by these unscrupulous elements fleecing unsuspecting members of the public.
Mr Togarepi declared that IPEC will continue hunting down the criminals until they are satisfied that all of them are brought to book.
He said IPEC will also descend heavily on insurance companies using unregistered agents. – The Herald