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THE Insurance and Pensions Commission (IPEC) has with immediate effect suspended Heritage Life Limited from writing new business after it was found wanting on significant compliance and governance deficiencies.
This led to the insurance and pension funds’ regulator, issuing a Corrective Order to Heritage Life Limited.
However, to ensure existing policyholders are not prejudiced during this period, Heritage Life Limited is allowed to continue managing the existing business so that current policyholders continue to receive services.
In a public notice, IPEC said: “The decision was arrived at after IPEC concluded an onsite inspection on the entity in terms of Section 6 (b) of the Insurance Act (Chapter 24:07) which empowers IPEC to supervise the activities of policyholders.
“The inspection revealed significant compliance and governance deficiencies, leading to IPEC issuing a Corrective Order to Heritage Life Limited.”
The regulator noted that in the meantime, IPEC will continue monitoring the implementation of the Corrective Order by Heritage Life Limited to ensure that the observed deficiencies are resolved for the protection of policyholders.
IPEC is a statutory body that was created through an Act of Parliament – the Insurance and Pensions Commission Act [Chapter 24:21] to regulate the insurance and pensions industry in Zimbabwe.
The Commission’s principal function is to protect the interests, rights, and benefits of insurance and pension consumers (policyholders and fund members) and to ensure that there is general stability of the insurance, and pensions industry.
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