Regulatory Alerts2008-04-06
Added
Circular PI-STI-1-2008 Motor Plans
The circular recalls PI/STI/3/2007 and formally recognizes AutoPlan, underwritten by Corporate Guarantee, as a compliant motor plan insurance product alongside Motorsure, Motorite, and Optimum Vehicle Solutions. It mandates that total commissions for these products must not exceed 20% for brokers and 15% for agents, in accordance with Regulation 6 of 1998. The document requires that policyholders have free choice of insurer, agent, or broker, prohibiting conditional selling which constitutes an offence under the Act. Additionally, it stipulates that all persons providing advice on these products must be registered as agents or brokers, and all offering the product must be registered insurers meeting statutory requirements.