N$5.6 million paid to 149 complainants in 2022

On account of the Namibia Financial Institutions Supervisory Authority (NAMFISA), a total of N$5.6 million was paid to 149 complainants as at 31 December 2022.

According to NAMFISA’s annual report, the highest amount, totalling N$2.6 million, was recovered from the long-term insurance industry, followed by N$1.5 million from the pension fund industry, N$1.2 million from the long-term insurance industry, N$270 041 from the microlending and credit agreement industry, and N$40 806 from the medical aid funds industry.

NAMFISA received a total of 730 complaints in 2022, of which 93.4% were resolved. The highest number of lodged complaints were against the long-term insurance industry (220), followed by 172 complaints against the microlending and credit agreement industry, 156 against the pension funds industry, 144 against the short-term insurance industry, 35 against the medical aid funds industry, and three against the capital markets industry.

Although the complaints lodged against the long-term insurance industry, the microlending and credit agreement industry, and the short-term insurance industry decreased compared with 2021, they remained among the top four industries in terms of complaints received during 2022. In this regard, these top four industries together accounted for 94.7%, on aggregate, of all complaints lodged during the reporting period, NAMFISA said.

Type of complaints

Complaints in the long-term insurance companies industry were mainly driven by non-payment of death benefits, repudiation of funeral benefits, illegal policies, non-cancellation of contracts and Services not delivered.

Secondly, the top five complaints in the microlenders and credit agreement industry were overcharging of interest, non-payment of refunds, illegal deductions, extension of the loan period and services not delivered.

In addition, the pension funds industry complaints were topped by non-payment of pension benefits, followed by non-payment of death benefits, non-provision of information, inaccuracy of investment or savings amounts and services not delivered.

Lastly, repudiation of property insurance, repudiation of motor vehicle claims, repudiation of legal representation claims, disputes concerning motor vehicle accident claims and services not delivered were the top five complaints in the short-term insurance [email protected]