Dissertations / Theses on the topic 'Insurance Commission'

My master thesis "Intermediaries of insurance products" deals with the activities of insurance intermediaries, legislation regulating their work, comparison of the Czech legislation with other countries and the organizations associating insurance intermediaries. The practical part is particularly focused on the analysis of commission system in companies AWD Česká republika s.r.o. and Česká pojišťovna a.s.

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Examining the prevalence of transparency in the sale of auto insurance in Brazil and around the world, this study considers the costs and benefits of this transparency through two surveys and based on extensive contextual and scholarly analyses. The agency relationship in the insurance intermediation consists of two principals (the consumer and the insurer) and one agent (the insurance broker). This relationship presents a classic principal-agent dilemma where the broker’s compensation system — in which insurers pay the brokerage commission — may portend negative effects for consumers. The international survey queried insurance supervisors and organizations representing insurers and insurance brokers about global practices related to the transparency in the auto insurance sale and received responses from 39 foreign jurisdictions (in addition to the European Commission). In the national survey, 191 Brazilian insurance brokers answered a questionnaire on their practices and opinions related to transparency in the auto insurance sale. The results show that 24 out of the 39 international jurisdictions analyzed require or encourage the disclosure of brokerage commissions to consumers. In jurisdictions where disclosure is compulsory, there is prior (prior to the decision made by the consumer) and active (without being requested by the consumer) transparency. In the national survey, results showed that 92% of insurance brokers (legal entities) in Brazil do not disclose to consumers the amount of brokerage commission received, and that 93% of brokers are against active disclosure and 92% against passive disclosure (at consumer request). Given these results, and based on the theoretical and empirical evidence examined, this study recommends the adoption of transparency requirements relating to prior and active disclosure of brokerage commissions in Brazil.
Ao examinar o domínio da transparência na venda do seguro automóvel no Brasil e no mundo, este estudo leva em consideração os custos e benefícios da transparência por meio de dois surveys e com base numa extensa análise contextual e acadêmica. A relação de agência que se forma na intermediação do seguro consiste de dois principais (consumidor e seguradoras) e um agente (corretor de seguro). Esta relação exibe um clássico dilema principal-agente onde o regime de remuneração dos corretores de seguro, no qual o pagamento da comissão de corretagem é feito pelas seguradoras, pode resultar em efeitos negativos para os consumidores. O survey internacional consultou supervisores de seguro e entidades representativas de seguradoras e de corretores de seguro sobre as práticas globais relacionadas à transparência na venda do seguro automóvel e recebeu respostas de 39 jurisdições estrangeiras (além da Comissão Europeia). No survey nacional, 191 corretoras de seguro brasileiras responderam um questionário sobre suas práticas e opiniões relacionadas à transparência na venda do seguro automóvel. Os resultados mostram que 24 das 39 jurisdições estrangeiras analisadas exigem ou apoiam a divulgação da comissão de corretagem aos consumidores. Nas jurisdições em que a divulgação é compulsória, prevalece a transparência prévia (anterior à tomada de decisão pelo consumidor) e ativa (sem que seja solicitada pelo consumidor). No survey nacional, os resultados mostram que 92% das corretoras de seguro (pessoas jurídicas) no Brasil não divulgam aos consumidores o valor da comissão de corretagem que recebem e que 93% das corretoras são contrárias à divulgação ativa e que 92% são contrárias à divulgação passiva (a pedido dos consumidores). Diante desses resultados, e baseado nas evidências teóricas e empíricas estudadas, recomenda-se a adoção de requisitos de transparência no Brasil, relacionados à divulgação prévia e ativa da comissão de corretagem aos consumidores.

L'assurance maritime constitue la première forme d'assurance connue, qui s'est développée à la fin du Moyen-Âge et a gagné l'ensemble de l'Europe au XVIe siècle. Rouen, l'une des plus importantes villes commerciales et maritimes du royaume de France, fut la première – et la seule – à être dotée d'un greffe des assurances dès 1556. Elle constitue donc un lieu de choix pour l'étude de ce contrat dans notre pays. Le caractère aléatoire de l'assurance a posé très tôt le problème de l'équilibre des intérêts des parties. D'une part, l'assuré devait pouvoir bénéficier de garanties suffisantes pour recourir à l'assurance. Il s'agissait d'autre part de protéger l'assureur, qui, en plus de prendre les risques de l'expédition à sa charge, se trouvait en grande partie dépendant de la bonne foi de son assuré. Aux côtés de leur « commis aux assurances », les marchands rouennais ont alors recherché et adopté des solutions. L'ordonnance de la Marine de 1681, première législation française sur les assurances, a ensuite tenté d'unifier les usages et pratiques du royaume. Elle a proposé différentes mesures pour promouvoir ce contrat tant auprès des assurés que des assureurs. L'assurance maritime, en lien avec les nombreux domaines juridiques que sont le droit des obligations, le droit commercial, le droit maritime, le droit cambiaire ou encore celui des sociétés, a alors évolué sous l'influence conjuguée des juges et des marchands, toujours soucieux de trouver un équilibre contractuel
Shipping insurance is the first known form of insurance. It was instituted at the end of the Middle Ages and spread to the whole of Europe in the sixteenth century. Rouen, as one of the largest commercial and maritime cities in the Kingdom of France, was the first and indeed the only city to be given a patent for insurance as early as 1556. It is therefore the ideal place in which to study such a contract in this country. The fluctuating nature of insurance quickly pinpointed the problem of balancing the interests of the parties involved. On the one hand, the insured person needed to be able to benefit from guaranties allowing him to resort to insurance. Similarly, the insurer needed to be protected since he not only had the responsibility of the voyage, with the risks that that implied, but was also dependent on the honesty of the person insured. Together with their “insurance agents”, the merchants of Rouen therefore sought and adopted solutions to this problem. The Royal Ordinance of Shipping, in 1681, – the first French legislation on insurance – then endeavoured to unify the customs and uses carried out in the Kingdom of France. It offered various measures to develop this contract between the insured and the insurer. Maritime insurance, together with the many other sectors of law such as that of obligations, commercial law, maritime law, law pertaining to Exchange or to Societies, then evolved under the combined influence of the judiciary and of merchants, continually seeking a contractual balance

Mestrado em Actuarial Science
Este estudo tem como objetivo investigar se a tábua PA90 do Reino Unido constitui um modelo aceitável para a experiência de mortalidade na Nigéria, no que diz respeito à população dos detentores de anuidades. A motivação para o trabalho provém do facto de o mercado nigeriano de anuidades se ter vindo a desenvolver nos últimos anos. Nesta dissertação apresenta-se uma revisão de alguma da literatura relevante sobre o tópico, incluindo algumas noções de base - o que é uma renda vitalícia - e descrições necessariamente breves da investigação sobre questões de mortalidade desenvolvida no Reino Unido e em África, bem como de algumas das razões pelas quais as taxas de mortalidade estão a ser continuamente objeto de estudo. Os dados e as metodologias indispensáveis à prossecução do objetivo são de seguida discutidos e aplicados. Destaque deve ser dado aos dois métodos de suavização utilizados, spline com base natural (NCS) e spline penalizada, que foram usados no training set data, para a obtenção de taxas de mortalidade alisadas. As taxas estimadas são posteriormente comparadas com a tábua PA90, para estudar se esta deve continuar a ser usada na Nigéria, ou se se impõe a realização de um estudo completo da mortalidade no país.
This study aims to investigate PA90 of the UK as a proxy for annuitant mortality table in Nigeria. Annuities seem to grow rapidly across the globe due to reformations and regulations in the public social security systems regarding post retirement plans. Nigerian annuity market is not left out in this global growth as annuity product now gains momentum by the day. The primary focus of this dissertation is to compare PA90 of the UK with crude rates estimated from the national data available, an important topic nowadays in Nigeria. A literature review is provided - what life annuity means, mortality investigations in UK and Africa, and some of the reasons why mortality rates are being assessed. Data and methodology required to accomplish the objective of the work developed are also thoroughly discussed and used. Two smoothing techniques, natural basis spline (NCS) and penalised spline were applied on the training set, to obtain smoothed mortality rates. The rates that have been estimated are then compared with the PA90 rates, to see whether this life table should continue to be used as a proxy for the mortality of Nigerian annuitants, or an independent study should be carried out.
info:eu-repo/semantics/publishedVersion

Les droits fondamentaux occupent une place croissante dans le paysage assurantiel français et tendent à modifier la nature des contentieux impliquant l’assuré et l’assureur. L’égalité et la protection de la vie privée de l’assuré freinent l’utilisation par l’assureur de nouvelles techniques actuarielles et d’Internet. Ainsi, une décision de la Cour de justice de l’Union européenne du 1er mars 2011 a sanctionné la différence de tarif entre les hommes et les femmes. Quant à l’assureur, ses droits à la sécurité juridique, à un procès équitable et à la liberté d’entreprendre font débat dans les rapports qu’il entretient avec les autorités de contrôle ou les plateformes de mise en relation qui s’attaquent au marché de l’assurance. Ces droits fondamentaux ne semblent pas être respectés avec autant d’acuité que ceux de l’assuré. Ce déséquilibre s’explique par le rôle social de l’assurance, rôle récemment menacé par la remise en cause des grands principes de l’assurance et l’absence de prévisibilité du coût des sinistres
There is an increase in the focus on fundamental rights in the French insurance landscape. This tends to change the nature of the disputes involving both the insurer and the insured. The right to equality and the protection of one’s privacy hinder the insurer's use of new actuarial techniques and the use of tools provided by the Internet. Thus the European Court of Justice’s decision on March 1st 2011 forbids the difference in premium between men and women.For the insurer, supervisory authorities and share economy can threaten its rights to legal certainty, fair trials and freedom of enterprise. It seems to have no equivalent in the protection level of the fundamental rights of the insurer compared to those of the insured. This imbalance is justified by the social role of insurance, a role recently challenged by the absence of respect towards the basic principles of insurance and the lack of predictability of the claims’ costs

The diploma thesis focuses on marketing strategy in the selected insurance company. Specifies fundamental terms of marketing ang strategy and compares with reality. It contains proposal of marketing strategy that support to increase market share and production size in the selected company.

En matière de responsabilité civile des professionnels du chiffre et du droit, l’indemnisation est intégralement réalisée par l’assurance privée. Il existe donc, à cet égard, une nette différence entre l’indemnisation dans le domaine de la responsabilité médicale et dans le domaine objet de la recherche entreprise. Pourtant, les enjeux économiques y seraient d’importance supérieure. Une mutualisation optimale est souvent réalisée par les instances professionnelles du chiffre et du droit. Celles-ci ont souscrit des contrats d’assurance collective créés et proposés dès le dix-neuvième siècle par un même assureur, à présent en situation de quasi monopole de fait.De 2001 à 2010, plus de 100 000 sinistres ont été déclarés par des professionnels du chiffre et du droit auprès de cet apériteur dominant. Un échantillonnage approfondi a permis de constater que l’indemnisation n’a pas toute l’efficacité espérée, étant elle-même contrecarrée par l’action du système assurantiel de défense professionnelle fédéré autour de comités de gestion concertée. Ce système aurait ainsi pris le contrôle de l’indemnisation, de sorte à réaliser une forme d’écrasement des préjudices indemnisables, notamment par le jeu des règlements extrajudiciaires prédominants. En même temps, ce système ne serait pas toujours en mesure de protéger pleinement cette incroyable mutualisation qu’il a pourtant réalisée avec succès. En effet, une altération de la responsabilisation des professionnels assurés pourrait être à la fois la cause et la conséquence de cette importante sinistralité pour laquelle les techniques assurantielles d’autodiscipline semblent être tombées en léthargie, au détriment de l’indemnisation
In the field of the civil liability of law and accounting practitioners, the compensation of victims is entirely carried out by a private insurer. There is, therefore, in this respect, a plain difference between compensation in the field of medical liability and compensation in the area addressed in this research. Nevertheless, the economic stakes would be rather higher. An optimal mutuality is often done by law and accounting professional bodies. They have entered into collective insurance contracts created and proposed as from the nineteenth century by a sole insurer, today in an almost situation of de facto monopoly. From 2001 to 2010, more than 100 000 claims have been declared by law and accounting professions together with the dominant insurer. A detailed sampling has enabled us to notice that the compensation does not have its entire hoped efficiency, itself being thwarted by the insurance system’s action of professional defense federated around concerted management committees. This system has therefore taken control of the compensation process, in a way to conceive a form of crushing of the prejudices entitled to compensation, mainly through amicable settlements. At the same time, the abovementioned system is not always in a position to fully protect this incredible mutuality that it has however carried out with success. The impairment which affects the responsibilization of insured practitioners could be at the same time the cause and the consequence of this important sum of claims for which the self-disciplined methods used by insurance seem to have faded, to the detriment of compensation

Il est traditionnellement admis que le droit pénal a pour fonction de défendre l’intérêt général, ce qui explique le rôle prééminent de l’État tout au long du processus répressif. Pourtant, l’analyse du droit positif met en exergue une extension de la fonction normative du droit pénal en direction des intérêts privés, individuels ou collectifs qui ne peut que bouleverser les fonctions traditionnellement assignées à la responsabilité pénale et à la sanction pénale qui l’accompagne. Parce que les intérêts privés concurrencent l’intérêt général dans l’ordre des valeurs protégées par les textes d’incrimination, les règles de la responsabilité pénale et les fonctions de la sanction pénale sont désormais sollicitées pour résoudre des litiges entre particuliers, et assurer la réparation du dommage causé par l’infraction. Parce que la configuration des acteurs au procès pénal n’est que le reflet des valeurs protégées par la norme pénale, l’introduction des intérêts privés dans le champ de protection de la loi pénale a naturellement entraîné une mutation de la répartition traditionnelle des rôles processuels du juge et des parties dans le procès pénal au profit des parties privées. Même si cette mutation a trouvé dans l’influence du modèle européen de procès équitable le terreau favorable à une telle évolution, celui-ci n’a joué qu’un rôle catalyseur dans l’ascension des parties dans la maîtrise de la direction de l’instance pénale comme dans la maîtrise de la matière litigieuse ; la véritable cause de ces évolutions
It is traditionally allowed that the criminal law has as a function to defend the general interest, which explains the preeminent role of the State throughout the repressive process. However, the analysis of the substantive law puts forward an extension of the normative function of the criminal law in the direction of the private interests, individual or collectives which can only upset the functions traditionally assigned with the criminal responsibility and with the penal sanction which accompanies it. Because the private interests compete with the general interest in the order of the values protected by the texts from incrimination, the rules of the criminal responsibility and the functions of the penal sanction from now on are requested to solve litigations between individuals, and to ensure the compensation for the damage caused by the infringement. Because the configuration of the actors to the criminal trial is only the reflection of the values protected by the penal standard, the introduction of the private interests into the field of protection of the criminal law naturally involved a change of the traditional distribution of the processual roles of the judge and parts in the criminal trial with the profit as of private parts. Even if this change found in the influence of the European model of fair trial the compost favorable to such an evolution, this one played only one catalyst part in the rise of the parts in the control of the direction of the penal authority as in the control of the litigious matter; the true cause of these evolutions, it is the privatization of penal repression

碩士
國立高雄第一科技大學
風險管理與保險研究所
104
This study takes Pearson correlation test, partial F test, and regression analysis to estimate the commission performance of 360 sales of the southern subsidiary of a life-insurance company in 2014. The independent variables include: premium, number of policies, ratio of active sales, the training-participation rate, job level, and gender, we analyze the effects on the commission performance. The results show that there exists significant correlations among all the independent variables and the commission performance. By partial F test, it says that the interaction between job level and other independent variables may effect the commission performance; however, it''s not the case for gender. By regression analysis it tells that the commission performance of the managers is higher than sales. As the premium and the ratio of active sales increase, the commission performance will also increases, ceteris paribus; however, the number of policies and training-participation rate have negative impacts on the commission performance. This study finds that premium, the ratio of active sales, and the managerial job level will all effect and increase the commission performance, our studied results may be used as the reference of establishing rewarding system for insurance company.

碩士
淡江大學
保險學系保險經營碩士班
99
Until now,although insurers get the power to determine the pay commission of insurance agents. But it does not have any standard of considerations. Because insurers do not considerate qualitative and quantitative factors of insurance agents. Gradually, insurance agents lack incentives of motivation and progress. In consequence, insurance agents are difficult to upgrade quality of insurance agents. Therefore, the thesis imitates Japanese experience of classification of insurance agents. In addition, the thesis considers principles of fairness、rationality、comprehension、incentive、classification、professional、preview、effectiveness to construct considerations pay commission of insurance agents. One is quantitative factor: sales volume、ratio of accomplishment、loss ratio、ratio of continuance、ratio of growth、period of cooperation、discipline of obey law; another is qualitative factor: classification、type of organization、hierarchical management、range of authorization、ability of potential、efficiency of work、area of business. Insurers base on those factors to evaluate insurance agents and pay commission. Finally, synthesizes the above conclusion, we expect to get the goal of following: (1) To construct classification to the domestic insurance agents. (2) The standard of insurance agents maintain advantages and improve shortcoming. (3) Auxiliary information of the authority supervises industry of insurance.

碩士
銘傳大學
會計學系碩士班
101
In the decades, the deferred acquisition cost (DAC) is more relative with future income. In insurance industry, commission is a great amount of money that affects company much. And also, it is the most effective incentive for insurance agent. Though commission is outlay for insurance company, according to Ko et al.(2012), it might be positive for the future income of insurance company. The sample is the quarterly data from 2000 to the third quarter of 2011. This study investigates the association between commission outlay and firm performance which is proxied by persistency rate and earning volatility. The result shows that the commission outlay intensity is significantly positively related to persistency rate, while negatively associated with earning volatility.

碩士
淡江大學
保險學系保險經營碩士在職專班
101
Insurance commission will be determined based on the actual operating conditions of the insurers, while the channel commission payment basis will directly reflect operating costs, after rate deregulation of auto insurance. Therefore, from the perspective of insurance business, the commission ratio of channel and the profit margins of insurance businesses were analyzed and explored from three aspects: 1. The analysis of the relationship between the commission rates of insurance sales channel and good business. 2. The analysis of the relationship between the commission ratio and loss ratio in insurance sales channel. 3. The comparative analysis of whether or not significant differences exist in the relationships mentioned above before and after put into the acquisition expense limit. In this study, a domestic insurance company (hereinafter referred to as Company C) was adopted as the subject to explore personal physical damage automobile Insurance underwriting and losses that incurred from 2007 to 2011. First, the regression model was adopted to explore whether or not a linear relationship exists between the commission rates (commission levels) among the channels and the number of cases (ratios) without claims. In addition, the acquisition expense limit on auto insurance policy was 18.4% after July 2009. Hence, The T statistical test in study loss ratio of insurance sales channel to verify significant differences whether claim or not, after put into the acquisition expense limit. Through the research report, the relationship between the commission rate and profit margin of personal physical damage automobile Insurance sales channel was confirmed before and after put into the acquisition expense limit. 1. Prior to July 2009, the number of insurance brokers and agency without claims and average loss ratio was increasing with the rise in commission payments; the no-claim number in the salesmen channels did not increase with the rise in commission payments, thus the absence of a linear relationship. The average loss rates increased with the rise of commission payments, thus showing a positive correlation. 2. After July 2009, the average loss ratio of the insurance brokers and agency channels decreased with the rise in commission payments, and the average loss ratio increased by 4.6%. The increased average loss ratio of the low commission level contributed to this outcome; the average loss ratio of the insurance salesmen channels decreased with the rise in commission payments, and the average loss ratio decreased about 7.4%. The decreased average loss ratio of the high-commission level contributed to this outcome.

碩士
淡江大學
保險學系保險經營碩士在職專班
106
Looking back to the development history of the fee/commission systems for non-life insurance agents in Taiwan, it is found that there are no clear standards for such fee/commission. The relationship between the agents and non-life insurance companies, as a result, is usually established on nothing but high fee/commission. The purpose of this study, therefore, is to explore the fee/commission paid to the agents by non-life insurance companies, taking into account the factors related to the business nature of the insurance agents. Through these case studies, the research endeavors to identify the factors influencing the fee/commission standards of non-life insurance agents and the future perspectives thereof. Based on the results of this research, the author has the following recommendations: 1. Enhance the functionality of the insurance agents. 2. Encourage non-life insurance companies to expand its scope of delegation. 3. Improve the professionalism of the insurance agents. 4. Clearly define the fee/commission items for insurance agents. 5. Establish clear and reasonable fee/commission standards for insurance agents. 6. Build up a grading system for insurance agents. 7. Implement differentiated management on insurance agents. 8. Adjust the supervisory policies on insurance agents. It is hoped that the above recommendations will be helpful for the non-life insurance companies in the country to build up an adequate fee/commission system for their insurance agents.

碩士
國立高雄第一科技大學
風險管理與保險研究所
104
Life insurance staffs are often the most important assets of life insurance companies, business staffs in addition to matchmaking role between life insurers and policyholders, but also the main source of long-term life insurance premiums (new contract premiums and renewal premiums), so life insurance business staff simultaneously enhancing quality, is the main reason for each life insurance company performance and long-term business success. The main purpose of this study has the following three points: First,find the relevant factors affecting the performance of operational staff performance. Second,Multi-factor analysis of variance model to assess potential high performers with the outline of the insurance sales. Third, according to the results of empirical analysis suggest possible explanations provided by the life insurance industry recruit future reference direction of high-performance business people operating in accordance with the policy. Statistics empirical results show that female, O-type blood, fire signconstellation, insurance-related department, in charge of the post, there are business experience, associationsexperience, outgoingassociationsexperience, insurance brokers agents have better performances. If the recruits may consider who women, have business experience, associationsexpe-rience, outgoing interest based.

碩士
國立臺灣大學
財務金融學研究所
93
Abstract In this thesis, we analyze some modification manners’ by modeling agents’ behavior and the results can be a reference for insurance companies to design their commission system. When insurance agency market is a monopoly: No matter agents’ utility function is CARA or HARA, the results are consistent：the higher unit effort level or the longer policy period, the smaller best fixed income is. In other words, if there is only one insurer in the agency market, all the insurer should pay is a certain amount of fixed income to stimulate agents to extend new business. When insurance agency market is a perfect competition: Besides negative exponential utility function, all the other functions are inverse to market volatility and cost coefficient; when analyzing binominal function, the best leveled commission rate increases as market volatility and cost coefficient. Under all functions, the best leveled commission rate increases as contract period and fixed income, but decreases as interest rate. As for these methods of modification, the most popular methods are to prolong the policy period and shorten the difference between the first year commission and the following ones. However, the passive way is to organize the retention rate into the yearly employee scores. These modifications will be effective to stimulate agents to put more emphasis on their clients in the following years. In fact, to level the commissions has some difficulties in putting into practice because most agents would not adapt to the sudden change of their income structure and they often quit jobs to protest. So the best suggestion for insurance companies is to gradually lessen the difference between the first year and the next year commission rate. Insurers also have to put more attention on the after-service quality improvement and educate their employees to cherish the value of customers. In the end, we can achieve a goal to supply our clients with more thoughtful services.

The protection of clients in their dealings with insurance advisors is very important. This is mainly because clients are not too knowledgeable about insurance products. This lack of knowledge makes vulnerable to exploitation by insurance advisors. It is the duty of the regulator of insurance to ensure adequate protection of clients in their dealings with insurance advisors. However, this may not be easily attainable in a jurisdiction like Lesotho where there is only one regulator for all financial institutions, the Central Bank of Lesotho. This more so because insurance is very complex as there are different persons and contracts involved. The client has to firstly deal with insurance advisors or intermediaries before an actual contract of insurance comes into existence. In Lesotho the insurance sector is regulated by the Insurance Act 18 of 1976. Although there are systems in place regarding the regulation of the insurance industry, they are not adequate nor guarantee effective protection of the clients. These measures are mainly focused on the relationship between the Commissioner and the insurance advisors and not the relationship between the insurance advisors and the clients. The ineffectiveness of the current regulatory framework in Lesotho was exposed by the MKM situation in 2007 which showed that clients in Lesotho are to a very large extent left unprotected against insurance advisors. Even the proposed Insurance Bill of 2013 which was meant to address problems not addressed by the Insurance Act, does not offer any assistance as it contains no provisions on the protection of clients. The problem with the legal framework in Lesotho is that does not address the most important of protection of clients in their dealings with insurance advisors. This is also due to the fact that there is only one regulator for all financial institutions and this places a very burdensome duty on the Central Bank of Lesotho. In order to find solutions to this problem, a comparative study based on literature was done between Lesotho and South Africa. This is because South Africa on the other hand is more advance. The current legal framework in South Africa ensures the protection of clients in their dealings with insurance advisors. The non-banking institutions such as insurance advisors are regulated by the Financial Services Board. There are systems in place in South Africa regulating the conduct of insurance advisors towards clients. The Financial Advisory and Intermediary Services Act is one of the measures in place meant to ensure that those who render advice are fit and proper by requiring them, amongst others, to be in possession of relevant academic qualifications and operational ability to dispose of their duties in terms of the Act. This is different from the position in Lesotho where the only piece of legislation regulating the insurance advisors is the Insurance Act. Furthermore, by virtue of section 2B of the General Proclamation of 1884, the common law of South Africa is applicable in Lesotho so it is important to examine the changes that South Africa has made to it common law on which Lesotho mostly relies. The results show that the clients in Lesotho are to a very large extent left unprotected against insurance advisors as the current legal framework offers them no protection. The legal framework in South Africa on the other hand affords clients more protection. However, economic position of Lesotho it would not be ideal to take all measures applicable in South Africa and apply them to Lesotho as they are. Based on these findings recommendations made include that the Commissioner must engage in consumer education to ensure that clients know about their rights in dealings with insurance advisors. Another recommendation made is that the current legal framework be amended to include provisions relating to the protection of clients. It is also recommended that the Central Bank of Lesotho is well equipped to deal with matters relating to the protection of clients.
LLM (Estate Law), North-West University, Potchefstroom Campus, 2015