FIA Set to Crack Down on Unscrupulous Insurers

August 2 - The Financial Intermediaries Association of South Africa (FIA) is planning to crack down on unscrupulous product providers and providers by adopting a new Code of Conduct.

The group announced that it is tired of witnessing misconduct by intermediaries, most of which do not even belong to the FIA.

The group plans to focus on identifying these intermediaries and their products, and reporting them to the relevant authorities whenever possible.

"Our members, who comprise nearly 3,000 individual and company financial services providers, including most of the major and professional individual financial intermediaries, witness regular misconduct of product providers and advisors," said the President of FIA, Seamus Casserly.

"More often than not, these transgressors do not belong to professional bodies like the FIA. Their actions tarnish the industry that we are so proud being a part of. This is what we take exception to and will act against."

Should the FIA pick up on clients being obviously misled by false advertising or incorrect advice, the FIA will report these cases to the different watchdog groups to take the matter up.

The FIA also encourages whistle-blowing amongst its own members in a bid to keep the industry clean.

"The executive of the FIA has been tasked to work closely with the FSB, devising a program whereby we can effectively cleanse the industry of the bad apples," said Casserly.