Congo-Brazzaville withdraws licences of 22 insurance brokers

Congo-Brazzaville withdrew the licences of 22 insurance intermediaries that failed to comply with professional rules, said Jean-Pierre Nonault, director-general of the National Financial Institutions. The breaches included premium retention and irregular instalment payments, creating risks for policyholders’ compensation, according to ACI.

Congo-Brazzaville withdrew the licences of 22 insurance intermediaries that failed to comply with certain professional rules, director-general of the National Financial Institutions Jean-Pierre Nonault said in an interview with the media, according to the Congolese Information Agency (ACI). The measure aims to clean up the market and better protect policyholders.

The breaches identified included premium retention, non-compliant instalment payments and the absence of certain structures on the ground. Failure to transfer premiums to insurance companies could jeopardise compensation for clients in the event of a claim, Jean-Pierre Nonault explained.

The withdrawals were ordered after inspections, follow-ups and checks carried out in line with the requirements of the Inter-African Conference on Insurance Markets (CIMA), the organisation that regulates insurance in several African countries. The sanctions range from a warning to withdrawal of a licence, including a reprimand and suspension; a major offence may directly warrant a severe sanction, the official said.

As a company’s licence is linked to that of its director, withdrawing the company’s authorisation also has consequences for its manager. Jean-Pierre Nonault nevertheless stressed the role of intermediaries in assisting clients, monitoring contracts and processing files, ACI reports.