Short-Term Insurance Act, 1998 (Act No. 53 of 1998)

In these Rules, "the Act" means the Short-term Insurance Act, 1998 (Act No 53 of 1998), any word or expression to which a meaning has been assigned in the Act, including the regulations promulgated under section 70 of the Act, shall bear that meaning and, unless the context otherwise indicates—

"compliance officer"

in relation to these Rules is the public officer of the insurer or a person appointed as a compliance officer by the public officer;

"direct offering"

in relation to these Rules means, negotiations on or marketing for the entering into or variation of a policy, by or through the mail, telephone, telefax, or any electronic means;

"effective date"

in relation to the entering into or variation of any policy, means the date on which any such policy is entered into or varied;

"ensure"

in relation to a person or body and any matter mentioned in a provision of these Rules, means to take, any necessary steps in order that the clear objective of the provision is achieved;

"enter into"

in respect of a policy, includes the renewal of any such policy: Provided that in the case of monthly policies only the renewal after the entering into of the policy effected during every consecutive twelfth month of the currency of the policy shall qualify as a renewal referred to in this definition;

"inspection"

means any inspection contemplated in the Inspection of Financial Institutions Act, 1998 (Act No 80 of 1998);

"insurance party involved"

means any insurer or independent intermediary directly involved in the entering into or variation of a policy with the policyholder concerned;

"insurer"

means a short-term insurer, and includes any representative of the insurer, any independent intermediary referred to in section 48(2) of the Act;

"policy"

means any short-term policy existing on the date envisaged in section 55(5) of the Act or entered into on or after that date, but excludes a reinsurance policy;

"policyholder"

means any natural person, close corporation or partnership who or which holds any policy, and includes any such prospective holder of a policy;

"variation"

in respect of a policy, means any variation of the premiums or benefits of the policy, excluding any periodic variation in terms of a contractually determined inflation-connected formula, or otherwise in terms of fixed contractually determined provisions.