Please find the attached Circular 13 of 2026 and the IPEC amendment act Circular 13 of 2026 Act No. 2, 2026 Insurance & Pensions Commission Amendment
Staff Writer
Zimbabwe’s insurance and pensions sector is set for far-reaching regulatory changes following the promulgation of the Insurance and Pensions Commission Amendment Act, 2026, which significantly broadens the powers and functions of the Insurance and Pensions Commission (IPEC) in a bid to strengthen oversight, accountability and policyholder protection.
The new law, which came into effect on April 24, 2026, was announced by the Commission through Circular 13 of 2026 issued on May 11 to insurers, pension funds, medical aid societies and other regulated entities.
According to the circular, the amendment seeks to enhance supervision of the insurance and pensions industry while aligning the regulatory framework with evolving market dynamics and international best practices.
“The Commission advises all registered entities and industry associations that the Insurance and Pensions Commission Act [Chapter 24:21] has been amended through the gazetting of the Insurance and Pensions Commission Amendment Act, 2026,” IPEC Commissioner Dr Grace Muradzikwa said in the circular.
“The Amendment came into effect on 24 April 2026.”
The amendments introduce sweeping reforms that redefine the objects, powers and operational structure of the Commission.
One of the major changes is the introduction of a new Section 3A, which formally outlines the objects of the Commission.
Under the amendment, IPEC is mandated to regulate, supervise and monitor the insurance and pensions sector while ensuring fairness, accountability and transparency in the industry.
The law also seeks to promote the development of both the insurance and pensions industries.
The Amendment Act further expands IPEC’s regulatory reach by bringing Medical Aid Societies and the National Social Security Authority (NSSA) under the Commission’s supervisory ambit.
This gives the regulator wider authority to monitor, regulate and supervise activities of regulated entities and their associates to ensure compliance with the Insurance Act and the Pensions and Provident Funds Act.
In a significant development, the Commission has also been granted powers to approve actuaries, asset managers, credit rating agencies and other service providers operating in the insurance and pensions sector.
IPEC said the move is aimed at ensuring service providers possess adequate technical understanding of the industry.
“The provision seeks service providers that provide services have technical appreciation of the sector in order to provide required assurances,” the circular said.
The Commission’s powers have also been expanded to include conducting research on international best practices and instituting investigations into registered entities where there is suspected contravention of the law governing the insurance and pensions sector.
The amendment additionally strengthens corporate governance provisions within the Commission.
The number of non-executive board members has been increased from five to a minimum of seven and a maximum of nine.
New conflict-of-interest provisions have also been introduced to disqualify individuals from appointment to the IPEC board where there are circumstances deemed to compromise independence.
The law further aligns board tenure and conditions of service with the Public Entities Corporate Governance Act.
In another major shift, failure by regulated entities to comply with requests for statistics and information from the Commission will now constitute a criminal offence.
The amendment replaces references to “Commissioner” with “Commission” in provisions dealing with information requests and strengthens IPEC’s enforcement authority.
The law also introduces new provisions allowing the Commission to cooperate and exchange information with local and foreign supervisory authorities and law enforcement agencies.
The scope of cooperation includes investigations, enforcement, coordination and harmonisation of laws, as well as information sharing on matters of mutual interest.
Another key feature of the amendment is the establishment of the Policyholder and Pensions and Provident Fund Members Protection Fund, designed to compensate policyholders and pension fund members in the event of insolvency of a contributing entity.
The Fund will have its own board and powers to open bank accounts and invest funds.
Contributors who fail to remit contributions may face penalties, interest charges or surcharges, with unpaid amounts deemed debts owed to the Fund.
The amendment also outlines procedures for compensation claims, eligible claimants and limitations of compensation.
Under the new provisions, the Fund’s accounts will be audited by the Auditor-General and made available for inspection by contributors, officers and employers.
The Act also introduces a requirement for the Commission to maintain asset registers for regulated entities.
Regulated entities will now be required to notify IPEC before disposing of assets recorded in the Commission’s register.
Additionally, appeals against decisions of the Commission can now be lodged with the responsible Minister within 14 days.
IPEC said it is currently engaging stakeholders and working on modalities to ensure a seamless transition during implementation of the new law.
“The Commission is working on modalities for a seamless transition as far as the implementation of the new Act is concerned,” Dr Muradzikwa said.
“We are engaging with stakeholders to provide clarity and guidance regarding the implementation of some new provisions.”
