Collective Investment Schemes Control Act, 2002 (Act No. 45 of 2002)

Board Notices

Rules for the administration of a collective investment scheme in participation bonds

7. Insurance of property
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The manager must take reasonable care to ensure that:—

(a)every immovable property mortgaged under a participation bond is adequately insured by the mortgagor concerned with a short-term insurer authorised to carry on insurance business within the Republic of South Africa against the risks of fire, storm and tempest and such other risks and contingencies as the manager may from time to time consider necessary; and
(b)the policy of insurance is ceded to the nominee company.