Online Reporter
Mashudu Mambo
THE Association of Health Funders of Zimbabwe (AHFoZ) has hosted a meeting to discuss the proposed Insurance and Pensions Commission (Ipec) Amendment Bill, following the announcement that medical aid societies will now fall under the Commission’s scope.
The bill introduces significant reforms aimed at strengthening regulation, transparency, and policyholder protection within Zimbabwe’s insurance and pensions sector.
Speaking at the meeting on Tuesday, AHFoZ Chairman Mr Stanford Sisya said that the bill originated from failures in pension governance.
“The proposed Ipec Bill stemmed from the Justice Smith Commission of Inquiry, which was established in response to public concerns over pension governance failures. However, it is essential that regulatory changes be evidence-based. If there are specific issues within the medical aid sector that require reform, a dedicated commission of inquiry should be established to thoroughly assess the evidence before implementing legal changes,” he said.
Mr Sisya stressed that the proposed bill must be grounded in facts rather than assumptions.
“In medicine, diagnosis precedes treatment, with laboratory tests and assessments guiding patient care. Similarly, healthcare regulation should be based on data and the specialised expertise within the sector, rather than assumptions. Any reform should address the root causes of the problems rather than simply transferring regulatory oversight,” he said.
He also noted that changing regulators would not necessarily solve underlying challenges, such as claim shortfalls that impact consumers.
“There seems to be a misconception among certain stakeholders that simply changing regulators will automatically resolve issues like claim rejections or shortfalls. However, these challenges are often industry-specific and related to healthcare provision and financing, rather than failures of the current regulatory framework,” he said.
In a speech read on behalf of Mrs Rose Mpofu, CEO of the Consumer Council of Zimbabwe (CCZ), by Corporate Affairs Director Mr Philimon Chereni, the CCZ expressed support for the new bill, believing it will improve the lives of policyholders.
“One of the key aspects the CCZ sees being enhanced by the new bill is consumer protection. The bill seeks to strengthen the regulatory framework, ensuring that insurance companies and pension funds operate fairly and transparently, protecting the interests of policyholders and pensioners,” said Mr Chereni.
He further said that the CCZ believes the bill will promote greater accountability, ultimately benefiting consumers.
“We believe that the introduction of this bill is prompted by significant concerns, and we trust that increased accountability will lead to improvements for consumers. The bill will also ensure better oversight of insurance products, among other important changes,” he said.
Mr Chereni also highlighted that the bill would enhance transparency, enabling consumers to make better-informed decisions about insurance and pension products.
“There will be greater transparency and disclosure in the industry, allowing consumers to make more informed choices. We also anticipate improved governance and management within the sector, leading to better decision-making and risk management, ultimately benefiting consumers. Additionally, we hope the bill will address product standardisation, which will serve the interests of policyholders,” he said.
