The Insurance and Pensions Commission (IPEC) has issued a statement over a Lobola Assurance banner that is doing rounds on social media especially WhatsApp. The banner claims to be from a company that calls itself Lobola Assurance and shows various packages which start from US$1.99 per month up to $19.99 per month.
There was a lot of excitement as the banner went viral on various social media platforms with a lot of people expressing admiration and interest in the product. Lobola is part and parcel of our culture and is considered an essential part of marriage. The truth though is that most people often struggle to pay the bride’s price when the time comes. It would be cool if there was such a product in the market but the truth is there is no such product.
According to IPEC, the authorities in charge of the insurance and pensions sector they do not have such a company on their books. This means this is almost certainly a scam or at the very least it’s an unregistered entity just after your money. Dealing with an unregistered insurance company puts you and your money at risk. You will not be able to make a claim and chances are the scammers will be long gone before their “policies” mature.
Below is the full statement from IPEC.
ON LOBOLA ASSURANCE
The Insurance and Pensions Commission (IPEC)’s atention has been drawan to a flier, under the banner Lobal Assurance, that is circulating on social media platforms.
We wish to advise the public that we have not licensed such an entity nor the purported product.
Section 7 (1) of the Insuranc Act, prohibits unregistered entitis from carrying out insurance business.
We would also like to remind insurance customers to only deal with registered entities.
Consumers can check with the Insurance and Pensions Commision, entities that are authorised to render insurance services.
The list of registered entities can also be found on the IPEC website: www.ipec.co.zw.
IPEC is a statutory body establisehd in terms of the Insurance and Pensions Commmission Act [Chapter 24:21] to regulate the insurance and pensions industry in Zimbabwe.