Overview Of The Insurance Laws Amendment Bill

The Insurance Laws Amendment Bill was published on 24 June 2013 and seeks to amend both the Long-Term Insurance Act and the Short-Term Insurance Act. The Bill relates largely to the powers of the Registrar, the licencing provisions in respect of insurers, governance and risk management requirements and to provide for the supervision of insurance groups; and clarity in respect of certain market conduct matters.

The object of the Amendment Bill is to promote the maintenance of a fair, safe and stable long-term and short-term insurance market for the benefit and protection of all policyholders concerned.

The Bill proposes that both the Long-Term Insurance Act and the Short-Term Insurance Act be amended to extend the powers of the respective registrars to exempt certain parties from being subjected to the strict application of either the Short-Term Insurance Act or the Long-Term Insurance Act respectively.