Most insurance companies not honouring policy payments to clients

Most insurance companies in Eastern Province are not honouring policy payments to their clients, when the agreed period of deducting money from people’s income matures.

The Competition and Consumer Protection Commission, CCPC Provincial Investigative Officer, Emmanuel Zulu, told Breeze News that the commission has seen an increase in the number of cases boadering on insurance companies ,abrogating the CCPC act section 49, number five.

Mr. Zulu explained that the CCPC act section 49, number five states that companies should provide a service with care to their clients when the agreed period expires.

Mr. Zulu says a number of civil servants with running insurance policies ,have reported that they are not being paid their money by some insurance companies after the policy has matured.

He says such companies have been investigated and fined Ten percent of their annual turnovers.

And Mr. Zulu says some civil servants have reported cases of strange deductions on their payslips from some insurance companies.

He says investigations revealed that some of the insurance company’s sales representatives, were getting details from the civil servants payslips ,to get loans for themselves.

Mr. Zulu appealed to people to be reporting such cases to the commission ,so that perpetrators are investigated and dealt with if found guilty, to deter would be offenders.

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