Fast little loans
Orange Insurance has been placed under provisional liquidation, the Financial Services Board (FSB) announced this week. The FSB says the public should be wary because it has concerns that Orange may still be attempting to market its business.
If you have a short-term insurance policy underwritten by Orange – which may have been issued and/or underwritten by Fleetsure or Fusion – and have any outstanding claims, you need to submit details of these to the Registrar of Short-term Insurance in writing as soon as possible.
These must be sent care of Juanita Smit on fax 012 346 6873 or you can email her at Juanita.Smit@fsb.co.za. Similarly, you need to contact the FSB if you have an outstanding guarantee – collateral paid to Orange which would be refunded to you if you did not claim.
If you have already submitted to the registrar claims for policies entered into during the period in which Orange was providing insurance cover, you are advised to update the regulator on the status of your claim and if your contact details have changed.
The provisional liquidation means that Orange may not conduct business other than through the Master of the High Court or the provisional liquidator, once one has been appointed. This is in addition to the standing prohibition on Orange conducting insurance business, which has been in place since February 1, 2010.
Jonathan Dixon, deputy executive officer: insurance at the FSB, says Orange has persistently refused to settle outstanding claims and liabilities arising from policies entered into by Fleetsure or Fusion on behalf of Orange, in spite of directives from the registrar to do so and the Appeal Board of the FSB upholding these directives.
On February 1, 2010, the registrar ordered Orange to stop conducting new business because it was financially unsound – “and still is” – in terms of the Short Term Insurance Act, the FSB says.
In addition to policyholders with outstanding claims, other creditors of Orange will also have to lodge claims with the provisional liquidator once one has been appointed.