|
To Subscribe please click
here |
 |
|
Moonstone Monitor - 26 April 2018 |
|
|
|
It always seems impossible until it's done - Nelson Mandela #FreedomDay |
| |
|
|
Distributed to 51,991 subscribers.
To advertise with us
click here |
|
| |
|
From the Crow's Nest |
|
|
Health insurance disappears for South Africans |
This media release from the Free Market Foundation leaves little
doubt of its views on government interference in the marketplace.
The FMF is concerned that too few people are aware of and / or understand the
implications of the demarcation regulations in the healthcare insurance market
that came into effect from 1 April 2017 and which have a dramatic effect on how
consumers pay for healthcare and the type of care we receive. The demarcation
regulations force insurance companies to behave as medical aid schemes in terms
of products and benefits offered. This is forcing up the cost to consumers and
reducing the range and choice of benefits available.
A further concern is that the price we pay for healthcare is inflated because
government actions and interference by regulation have artificially raised the
price of medical scheme cover for questionable motives.
Insurance is a simple business or should be: you pay a monthly fee, which
provides financial protection against unforeseen, sometimes catastrophic events.
Everything can be insured: cars, homes, your life and even pets. Yet health
insurance is becoming more complicated and expensive and depriving citizens of
protecting themselves from health risks.
Medical aid schemes are not health insurance but in reality are pre-paid
healthcare plans that cover routine check-ups, less serious illnesses and,
depending on the benefit option, recurring expenses like prescription and
chronic medications in addition to protecting you from a health disaster.
However, government interference has systematically raised the cost of medical
aid schemes. The Medical Schemes Act made it mandatory for healthy people to
cross-subsidise unhealthy people. Medical aid schemes are forced to charge
person with a much lower risk of getting sick, the same amount as a person with
a much higher risk.
Government also compels every medical scheme option to provide a minimum package
of benefits, known as PMBs to cover all members even if they do not need such
cover. Because medical schemes are now obligated to pay healthcare providers in
full for PMBs, there is no incentive for service providers to control the costs,
which are then passed onto the consumer in higher medical scheme contributions.
Regulatory add-ons have made healthcare much more expensive and complex than any
other form of insurance irrespective of whether you get your medical scheme
cover through your employer, through the government or if you pay your own
premiums.
In laying the foundations for the National Health Insurance scheme the
government has progressively and increasingly made it more expensive for
individuals to take care of their own healthcare needs and in the process is
swelling the numbers on an already overstretched public healthcare system.
Government intends to further limit medical scheme options by restricting them
to providing complementary cover to the as yet undefined NHI package of benefits
and to providing only one benefit option despite different people having very
different healthcare needs and abilities to pay. This will destroy the private
medical scheme market in South Africa and deny people access to quality
healthcare. These two measures have caused the price of insurance to rise
dramatically.
FMF health policy unit director Jasson Urbach said, “The solution is to allow
health insurance to be exactly that: insurance. We should encourage a real
health insurance market to develop by allowing insurance companies to innovate
and respond to consumer needs as they do in any other market. Then, stop forcing
people to buy plans that include things they won’t use and don’t want. Doing
these two things would introduce genuine affordable health insurance for many
more people”.
He continued, “For those who have pre-existing conditions yet cannot afford any
insurance plan, we do what every compassionate society does and make sure that
they get the medical care that they need, without disrupting the whole concept
of insurance and making healthcare more expensive for all. Increasingly citizens
face no choice as government squeezes and will ultimately destroy the private
healthcare market”. |
|
|
|
| |
 |
|
Your Practice Made Perfect |
|
|
FSCA confirms service delivery delays |
|
The FSCA released a communique to retirement funds and benefit
administrators to confirm a delay in the finalisation of
applications for rule amendments, registration of retirement funds and
licensing of benefit administrators. This is due to the transitional
arrangements from the Financial Services Board to the Financial Sector
Conduct Authority (“the Authority”). It is anticipated that the delays
will be resolved within the next five (5) weeks at the latest, by which
time it is hoped that most if not all of the backlog would have been
addressed.
Click here to
download the FSCA communication. |
|
|
|
|
|
 |
| |
|
NCR proposes new Guidelines to ‘fix’ Income Validation Quandary |
Following our
article published on 29 March 2018,
dealing with the High Court case between Truworths & others v The
Minister of Trade and Industry & others, including the National Credit
Regulator (NCR), the NCR published its proposed guidelines to ascertain
the gross income and calculate the discretionary income of a consumer as
part of its affordability assessment procedures. The court case dealt
with Regulation 23A(4) of the National Credit Act 34 of 2005 (NCA) which
specified the required steps to be taken by credit providers to validate
the gross income of prospective consumers, which was subsequently set
aside on 16 March 2018.
Please note that all interested parties have until 31 May 2018 to
provide the NCR with their comments on the guideline, by emailing it to
compliance@ncr.org.za.
In essence, this guideline follows the provisions of Regulation 23A(4)
for formally employed consumers in that their payslips and bank account
statements should be used to validate their gross income. It also
provides for three payslips or bank statements to be used in order to
establish the consistency of the consumer’s income.
The guidelines go further to say that where a consumer was employed for
less than 3 months, the credit provider may require the consumer’s
latest payslip, his or her bank statements showing the latest salary
deposit or a letter from the consumer’s employer as confirmation of the
consumer’s gross income and the frequency thereof.
For self-employed, informally employed or consumers receiving additional
income, which is not evidenced by payslips or bank statements, credit
providers may choose their own verification methods, provided that the
validation of the income is sufficient to meet the consumer’s debt
instalments under the proposed credit agreement. What is interesting
here is that the NCR requires credit providers to provide them with its
affordability assessment models, procedures and mechanisms in respect of
this category of consumers. It is unclear if the NCR will review these
models and ‘approve’ it or if this is just to demonstrate to the NCR
that the credit provider follows some kind of procedure to validate the
gross income. The guidelines further provide that credit providers
should first ascertain from the consumer whether he or she has a bank
account. Again it is unclear what exactly is meant with this provision
and it can only be speculated that, should a consumer have a bank
account, credit providers should rather obtain those to verify the gross
income and only use their alternative models, mechanisms and procedures
where a consumer does not have a bank account.
In summary, according to Ann Crotty’s Business Day article titled
Affordability regulation: the state will not contest ruling on credit
dated 20 April 2018, Mr Lionel October, the Department of Trade and
Industry’s director general, informed Business Day that instead of
appealing the Truworths judgment, they will ‘fix the clause’ that
prompted the legal challenge. These guidelines appears to be the first
step taken by the department and the NCR to address the shortcomings of
Regulation 23A(4) that dealt with the validation of a consumer’s gross
income.
Please
click here to download a copy of the Proposed Guideline.
Gerrit Viviers is an NCA compliance specialist at Moonstone
Compliance and Risk Management Services. Please contact Gerrit on 021
883 8000 or by email to
gviviers@moonstonecompliance.co.za if you require assistance with
NCA related queries. |
|
|
|
| |
|
| |
|
Compliance Workshops – save the dates
|
The financial services industry finds itself in a position where not
only the rules of the game changed – the game itself and even the
referee has changed.
Changes in the regulator’s mandate, sweeping changes to the fit and
proper regime, new requirements for insurers and proposed changes to the
general code of conduct are but a few of the issues that industry has to
come to grips with.
Moonstone Compliance is pleased to announce that it will hosting another
round of highly informative regulatory update workshops during June 2018.
As regular attendees have come to expect, we will once again share what
you need to know in a practical and understandable manner to allow you
to make informed decisions on how the changes and proposed changes will
impact you and your business.
This year our workshops will be accredited by a recognized body and will
qualify as a CPD activity towards the accumulation of CPD hours as
required by the FSCA.
The workshops will again be facilitated by Billy Seyffert and Alan
Holton and will cover:
| ● |
A concise overview of: |
| |
○ |
The Insurance Regulations, the impact and what’s next? |
| |
○ |
The most important Policyholder Protection Rules
considerations |
| |
○ |
Debarments – What has changed? |
| |
○ |
Financial Sector Regulation Act – What is important to
me? |
| ● |
The proposed changes to the General Code of Conduct and
the impact on FSPs |
| ● |
An in-depth unpacking of the 12 elements of the New Fit
and Proper Requirements and what it will take to comply. |
The workshops will run from 09h00 until 13h00 and take place on the
following dates and venues:
|
VENUE |
DATE |
|
East London - EL Golf Club |
5 June 2018 |
|
Port Elizabeth - PE Golf Club |
6 June 2018 |
|
Cape Town - The River Club |
18 June 2018 |
|
Johannesburg - Houghton Golf Club |
19 June 2018 |
|
Pretoria - Diep in die Berg |
20 June 2018 |
|
Durban - Coastlands Hotel Umhlanga |
21 June 2018 |
|
Bloemfontein - Emoya Estate |
26 June 2018 |
Please save the date - we will confirm as soon as registration opens.
|
|
|
|
| |
|
| |
|
Another CPD option from Moonstone
|
Advisers will be obliged to perform CPD activities during a “CPD
cycle”. This is a period of 12 months commencing on 1 June of every
year and ending 31 May of the following year, starting on 1 June 2018.
A “CPD activity” is a verifiable activity that is accredited by a
professional body who also allocates an hour value or a part thereof
to the activity. Activities performed towards a qualification and
“product specific training” does not qualify for CPD points, but
“class of business” training does.
Minimum CPD hours
This is determined by the make-up of your business. Where you
render:
-
a single subclass of business within a single class of business,
you must complete a minimum of 6 hours of CPD activities per CPD
cycle;
-
more than one subclass of business within a single class of
business, you must complete a minimum of 12 hours of CPD activities
per CPD cycle; and
-
more than one class of business you must complete a minimum of 18 hours of CPD activities per CPD cycle.
We strongly advise you to study the actual details on CPD contained
in the
Determination, which we have extracted for your ease of
reference.
Moonstone is in the process of developing a variety of CPD
offerings, including regulatory update workshops and Class of
Business training interventions which will count towards CPD hours.
Reading Moonstone Monitor as possible CPD activity – are be
interested?
Moonstone Monitor has always provided its readers with reliable
industry information. In a survey, conducted by an international
company in May 2016, independent financial advisers ranked it as
their number 1 source of information.
From a CPD point of view the Moonstone Monitor aligns with the CPD
requirements of
-
maintaining knowledge and skills that are appropriate for an
advisers’ activities and responsibilities;
-
updates advisers’ knowledge and skills; and
-
develops new knowledge and skills to assist with advisers’ current
functions and responsibilities or functions contemplated in the
future.
As a result the Moonstone team is looking at registering the reading
of the Moonstone Monitor as a CPD activity and offering you, our
reader, CPD hours for reading our content.
To ensure that its verifiable hours, each edition will have an
assessment. Should you be interested, please register and access our
trial.
Click here
to register.
|
|
|
|
Technologically Speaking
Moonstone Information Refinery
|
|
Jobs at risk as a result of digital automation |
A recent seminar at the University of Stellenbosch revealed that in
South Africa about 5.7 million jobs will be at risk as a result of
digital automation. Dr Roze Phillips, who holds a postgraduate
diploma in futures studies, is an alumnus of the University of
Stellenbosch Business School (USB) and the managing director for
Accenture Consulting in Africa. She spoke at the USB’s Leader’s
Angle event.
She shares what leaders need to do today to prepare themselves for
tomorrow as leaders have the opportunity to reshape their
organisations and society at large for the better if they accelerate
reskilling people. She emphasized that it needs to happen at an
accelerated speed.
“Digital technology will usher in a new economic era, exposing new
sources of value and growth, increasing efficiency and driving
competitiveness. For South Africa to rise to the challenge, the
country needs to recalibrate its economy and its workforce for
digital, creating entirely new products, services and markets. And
the time to do that is now,” Phillips said.
Click here to read the USB’s news release about the event.
|
|
|
|
|
Regulatory Examinations
|
|
|
DOFA deadline looming – Time is
running out to register and pass the RE 5 Regulatory Exams |
Board Notice 194 of 2017, Part 4 describes the regulatory examination
requirements as follows: “An FSP, a key individual and a representative
must successfully pass the applicable regulatory examinations before
that person's authorisation, approval or appointment.” There is of
course an exemption which allows representatives some leeway in
fulfilling this obligation, based on their Date of First Appointment (DOFA).
30 June 2018 is the DOFA date for candidates who are obliged to write
and pass the Regulatory Examinations (REs) within the prescribed period.
If your DOFA therefore falls between 1 July 2015 and 30 June 2016 you
have to PASS the regulatory examination by 30 June 2018. Please note the
emphasis on PASS. If you write and fail, you will be considered to not
be fit and proper
What happens if you miss the Fit and Proper deadline?
Representatives who do not meet the requirements by their respective
cut-off dates will be removed from the rep register and can be debarred
by their FSP, until such time as they fulfil the requirements.
This is in line with the FAIS Act and may have a significant impact on
your livelihood and career. If you are not Fit and Proper, no FSP will
be able to employ you. And your employer may terminate your contract if
you lose your status.
Steps to take
|
|
|
|
| |
|
2018 RE Schedules updated |
|
next UK opportunity is on 1 October 2018
Registration page
Please note: Registration cut-off is 11 working days before date of exam. |
|
|
|
|
Careers Platform
|
|
Are you hiring? Advertise your position on Moonstone’s Career Platform
|
| • |
The Moonstone website -
www.moonstone.co.za
- enjoys an average of 20 000 visits and approximately 39 000 page views per month. |
| • |
Moonstone boasts an exclusive newsletter mailing list of over 51000
dedicated financial decision makers who receive 2 newsletters per week. |
| • |
Our audience is relevant and industry specific: individual and corporate advisors and brokers in the following financial sectors:
Investment, Risk, Healthcare, Banking, Retirement, and Insurance. |
|
|
|
|
| |
|
Featured Positions |
-
Broker Consultant:
CIA - Commercial & Industrial Acceptances, KZN Umhlanga - We are
looking for a candidate with at least 5-10 years working experience in
the insurance industry, short term insurance qualifications and RE1.
Read More
-
Offshore Property
Consultant:
Salesforce Recruitment Johannesburg and Durban - This is your
opportunity to offer a unique, capital growth investment opportunity to
the market without bumping heads with direct competitors.
Read More
-
International Buy to
Let Sales Consultant:
Salesforce Recruitment Johannesburg and Durban - Join this stable,
Offshore Property Investment House and elevate your sales career to the
next level.
Read More
-
Key Individual:
Destinata Capital Ltd, Faerie Glen, Pretoria & Somerset West - We
have a position for a key individual who is licensed for at least
category 1.8.
Read More
|
|
|
|
|
In Lighter Wyn |
 |
|
ANZAC Day |
Yesterday was ANZAC Day in Australia and New Zealand.
Dear Australian media and the general public, it's time for an ANZAC
Day education. Below is a list of things that current, and former
members, of the Australian and New Zealand Defence Force would like
to point out prior to ANZAC Day:
-
ANZAC Day marks the anniversary of the Gallipoli Campaign of WWI.
ANZAC is an acronym for Australia and New Zealand Army Corps. It’s
written as ANZAC, not Anzac.
-
Each year on the 25th of April we reflect on all Defence Force
personnel, past and present, and the sacrifices they’ve made. It is
a solemn day, treat it as such.
-
ANZAC Day is one of Australia’s most important national
occasions. It marks the anniversary of the first major military
action fought by Australian and New Zealand forces during WWI.
-
Traditionally, Rosemary is worn on ANZAC Day. Rosemary is found
growing wild on the Gallipoli peninsula. That’s why it’s
significant.
-
The RED Poppy symbolises peace, death and sleep of the fallen
servicemen/woman while the PURPLE Poppy represents remembrance of
the animal victims of war. The ORANGE Poppy represents the
acknowledgement of the Service families, and also acknowledges the
families’ loss due to veteran suicide. The WHITE Poppy worn between
1918 - 1939 symbolises the wearers’ commitment to peace.
-
We commemorate ANZAC Day, not celebrate it. It's not a bloody
party.
-
At dawn on the 25th of April 1915, soldiers rowed ashore in boats
called ‘lighters’ during the Gallipoli landings, under fire and
without outboards motors.
-
It's a bugle, not a trumpet. The Last Post is sounded, not
played. It's not a bloody dance tune.
-
Not every serviceman/woman were 'soldiers'. Some were Sailors and
Airmen. Please take the time to ascertain what Service they served
in, and use the correct terminology.
-
They’re medals, not badges. They’re citations, not pins. Learn
the bloody difference.
-
Medal recipients wear their medals on the left side of their
chest covering their heart; family members/descendants wear the
medals on the right side of their chest.
-
No, I am not wearing my father’s medals, they are mine. I earned
them during my Service while you were at home enjoying all the
comforts I was dreaming of.
-
Medals, ribbons and Unit Citations are EARNED, not WON. It's not
a bloody chook raffle. They are awarded to the recipient, not given
to them.
-
Yes, I am allowed to wear my 'Return From Active Service' badge
on any bloody day of the year that I choose to wear it. Get over it.
And no, it’s not a bloody Medal.
-
Australian and New Zealand soldiers did not retreat from
Gallipoli, they withdrew.
-
It really doesn't matter which side you wear your Poppy on, as
long as it's worn with pride. Traditionally, men wear it on the left
breast and women on the right breast.
-
Please, don't try to draw comparisons between sports players and
war veterans. I've never seen a sports player perform acts of
heroism whilst under fire, to protect their fellow Service
personnel, flag and Country.
-
ANZAC Day isn’t a day to go and watch, or play sport. Show some
respect to the brave men and women in uniform, past and present, who
fought for the blanket of freedom that you currently sleep under.
-
Having a few drinks and playing ‘2 up’ is an ANZAC Day
tradition. Getting drunk, picking fights and acting like a bloody
yobbo isn’t.
-
'Lest We Forget' isn't a throwaway line, it actually has
meaning: it's an expression of remembrance, par excellence. It has
dignified origins, a rich history. Don’t misuse or disrespect it.
-
The 'Ode' comes from the poem "For the Fallen", written by
Laurence Binyon. The verse, which is commonly known as 'The Ode Of
Remembrance', is as follows:
"They shall grow not old, as we that are left grow old;
Age shall not weary them, nor the years condemn.
At the going down of the sun and in the morning
We will remember them."
Lest We Forget.
Here endeth the lesson.
Some do not share all the above sentiment. Listen to the Pogues
sing
And the band played waltzing Matilda and watch the graphic
pictures, then decide for yourself.
And now every April I sit on my porch
And I watch the parade pass before me
my old comrades, how proudly they march
Reliving dreams of past glory
The forgotten heroes a forgotten war
And the young people ask, "What are they marching for? "
And I ask myself the same question.
|
|
|
|
|
Tel: +27 21 883 8000 | Fax: +27 21 883 8005
info@moonstoneinfo.com
www.moonstone.co.za
P.O. Box 12662, Die Boord, Stellenbosch, 7613, Republic of South Africa
Disclaimer:
Services and products advertised by external product suppliers in
this newsletter are paid for by the respective suppliers. Moonstone
does not endorse any opinions, conclusions, data, products, services
or other information contained in this e-mail which is unrelated to
the official business of Moonstone and furthermore accepts no
liability in respect of the unauthorised use of its e-mail facility
or the sending of e-mail communications for other than strictly
business purposes.
The complete disclaimer can be accessed
here.
|
|
|
©2015 Moonstone. All rights reserved. |
