LOA “S References” four advisers during May
The Life Offices’ Association (LOA) S Referenced four financial advisers during May for submitting unauthorised policies (policies written without a client’s consent).
The S Reference system aims to protect consumers from advisers who are considered unfit to be marketing the products of the long-term insurance industry. The system is one of self-regulation operated by the LOA.
Participants in the S Reference system will not employ, accept new business from, or pay commission to an S Referenced financial adviser. An S Referenced person may also not be employed in a position that allows them control over advisers or their training.
An S Reference is imposed upon an adviser for five years. This may be reduced to three years if there are special mitigating factors. After the expiry of the period, the S Reference will lapse.
Results of the S Reference hearings held during May 2008
The following intermediaries were S Referenced for five years:
1. Mr. K.S. Dikhudu of Dobsonville, Gauteng
ID no: 6106055906084 – submitting an unauthorised policy
2. Ms. L.M. Mongale of Mamelodi East, Gauteng
ID no: 8302240392086 – submitting an unauthorised policy
3. Ms. S.E. Mogale of Namakgale, Limpopo
ID no: 6507250451083 - submitting unauthorised policies
4. Ms. K.S. Mothibedi of Rustenburg, North West
ID no: 6103120970088 - submitting an unauthorised policy
The LOA has implemented an enquiry mechanism on its website (www.loa.co.za), which enables consumers to determine whether a particular financial adviser has been S Referenced.
More information on the S Reference system is available on the LOA website under “Code of Conduct – Chapter 8”.
