THE Zimbabwe Pensions and Insurance Trust (Zimpirt) has approached Finance minister Patrick Chinamasa to intervene in the continued paltry monthly payments made to pensioners and alleged abuse of funds by insurance and reassurance companies, Southern Eye Business has learnt. GAMMA MUDARIKIRI Own Correspondent
In a letter updating members for September, Zimpirt said it had engaged Chinamasa in a bid to close all loopholes used by insurance companies to prejudice pensioners.
According to the insurance lobby group with more than 1 000 members countrywide, insurance companies continue prejudicing pensioners with some paying as little as $30 per month, in breach of the law.
“The organisation has also put together a strategy to engage a (court) class action to secure full rightful benefits through the courts,” part of the letter reads.
“It is again already sourcing for funds to support various class action processes and hence activities,” Zimpirt added.
Zimpirt had lodged a complaint on the paltry payment to pensioners and abuse of office to the then Finance minister Tendai Biti prompting an investigation into the issue last year.
Biti gave a directive to the Insurance and Pension Commission (Ipec) to investigate alleged abuse and paltry payments to pensioners and beneficiaries by life assurance companies and pension funds.
The investigation was completed in August last year, but the insurance regulator is yet to release the finding of the investigation.
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Zimpirt had also appealed to the Finance ministry to remove some board members of Ipec — full time executives at insurance companies and therefore — conflicted to the regulatory duty, to protect pensioners.
The pensioners’ lobby group said it had also taken up the issue with Chinamasa and appealed that findings of the investigation on the correctness of benefits entitled and paid to pensioners and other subscribers to pension and insurance services by insurance companies, be publicised.
According to Zimpirt, the Finance ministry has since advised that it has removed all conflicted Ipec board members and that it has finally received the investigation report from Ipec.
A new board of the insurance and pension regulator is expected to be announced soon.
Apart from working with the Finance ministry, Zimpirt said it had gone about lobbying Parliament to change current pension and insurance legislation to close all loopholes used by insurance companies to prejudice pensioners.
