The Financial Sector Conduct Authority ("FSCA") today
published a communication on its website titled "FSCA
Communication 7 of 2019 (INSURANCE)" dated 27 September 2019
("Communication 7") which extends the period of
compliance with certain regulations pertaining to premium
collection by independent intermediaries in terms of both the
Short-term Insurance Act, 53 of 1998 ("STIA") and the
Long-term Insurance Act, 52 of 1998 ("LTIA").
Communication 7 specifically provides that the
FSCA has agreed to extend the period of time in
which to comply with Regulation 4.2(3) issued under the
STIA and Regulation 8.2(2) issued under the
LTIA, from 28 September 2019 to 1 February
2020.
Regulation 4.2(3) and Regulation 8.2(2) issued under the STIA
and LTIA respectively deal with the requirement that all premiums
collected by an independent intermediary must be collected into a
separate bank account, which may only contain monies collected from
policyholders (and not the funds
