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[Zimbabwe] Insurance and Pensions Commission deregisters two insurance companies over non compliance

The Insurance and Pensions Commission (IPEC) has deregistered two non-life insurance companies Heritage Insurance and Excellence Insurance for failing to meet the prescribed minimum capital threshold of $1,5 million.

The two firms which had been suspended from initiating and renewing any business follow KFMS Insurance which was deregistered by the regulator last quarter. This brings the number of non-life insurers to 20 from 22 in the last quarter.

“It is hereby noticed that in terms of section 23 of the Insurance Act (Chapter 24:07), the following insurance companies have had their certificates of registration cancelled: KFMS Insurance Company, Heritage Insurance Company of Zimbabwe and Excellence Insurance Company,” IPEC commissioner Manette Mpofu said in a notice on Thursday.

In the regulator’s report to June 30, all the operating non-life insurance companies, except Credit Insurance Zimbabwe and Sanctuary Insurance Company reported capital positions which were above $1,5 million.

Zimbabwe’s direct non-life insurance industry has been witnessing a decline in the volume of business generated.
The volume of business written by non-life insurers in terms of total gross premium written (GPW) dropped five percent from $120,31 million for the half year ended June 30, 2015 to $114,33 million for the half year ended June 30, 2016.–source
MetBank hopes to recover $10mln on Nutriveg revival
Posted date: November 10, 2016in: Agribusiness, Business, Financial services, ZimbabweNo Comments
HARARE, November 10 (The Source) – Horticultural firm, Nutriveg has been placed under final judicial management to help resuscitate operations and recover more than $11,7 million owed to its creditors.

Nutriveg’s major creditor, MetBank voted to place the company, formerly Fresca Holdings, under final judicial management on Wednesday at the High Court to recover its money.

The firm owes Metbank $10 million and $1,783 million to other unsecured creditors. If liquidated, the company expects to realise $1,5 million from the sale of some of its assets and Metbank, which is the only secured creditor, will receive an initial $1,4 million.

“The view that I have taken is that it is prudent for all stakeholders to consider placing the company under final judicial management so that the company is given a chance to resuscitate its operations and gain its full swing once again,” judicial manager Budhama Chikamhi said.

Chikamhi expects the company to recover and expand onto the international market.

“We still intend to look at the international market which was the dominant market for Fresca Holdings when it was operating,” he said.
The company sells prepacked dried vegetables.

www.ipec.co.zw

 

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