Staff Writer
HARARE: The Insurance and Pensions Commission (IPEC) has approved Mimosa Pension Fund’s pre-2009 compensation scheme after it complied with all the requirements of Statutory Instrument 162 of 2023 (pre-2009 pension compensation regulations).
In a statement, Ipec said the approval paves the way for the fund to commence the compensation exercise.
“Once a compensation scheme is approved, the pension fund will directly communicate with eligible members regarding the payment modalities,” read the statement.
Meanwhile, IPEC said it is working closely with other funds that are close to complying with the requirements of the compensation regulations, to facilitate their compliance, so that their compensation schemes can also be approved.
“The Commission is in the process of instituting criminal proceedings against non-compliant entities in line with Statutory Instrument 162 of 2023,” reads part of the statement.
Ipec in February this year said flagged insufficient disclosures in 2009 compensation actuarial reports saying it had noted inadequate disclosures in actuarial reports submitted as part of the 2009 compensation schemes.
Ipec, in a circular seen by Inusrance24, said the inadequate disclosures were inhibiting the Commission from making an informed decision on the compensation schemes.
“Following the submission of 2009 compensation schemes as required in terms of Statutory Instrument 162 of 2023, we have noted instances where the disclosures in the actuarial reports are not adequate to enable the Commission to make an informed decision on the compensation schemes.
“It is against this background that the Commission requires that resubmissions or outstanding submissions make sufficient disclosures in the actuarial report as outlined in the Actuarial Society of Zimbabwe (ASZ) Guidance Note on S1 162 of 2023, released on January 25, 2024,” said Dr. Grace Muradzikwa, the IPEC commissioner, in a circular.
In October 2023, Statutory Instrument 162 of 2023 (“SI162,2023”) was published. This focused on pensions and provident funds’ compensation for the loss of the pre-2009 value of pension benefits.
The implementation of this Statutory Instrument proposed that Actuaries, who are mostly members of the Actuarial Society of Zimbabwe, assist in its implementation.
