Insurance Indemnities : Sluggish Direct Compensation

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24 janv. 2018 13:21

On January 11th 2017, insurance companies in Cameroon signed a convention to pay indemnities to car owners who suffer material damage worth less than FCFA 500.000 within fifteen days of the accident so as to reduce the delay in making payments and build customers. One year down the road, the convention which was to go into effect immediately, is yet to be effective as there is conflicting information about the implementation of the new measure. While some companies say they have been implementing the measure since 1^st July 2017, others say the measure only went into effect two months ago in November. More so, there are no testimonies of people who have benefitted from the new measure.

According to Lemb Aaron, Director of Public Transport of travellers, the delay in the implementation of the convention is due to modifications that had to be done on the convention as all the 18 insurance companies in Cameroon were not agreed on the terms of the accord. After the modifications that were ratified by 16 of the 18 companies, the work had to be centralised at the level of the association of insurance companies before being implemented. He attests that the measure started being implemented at the level of his insurance company on the 1^st of July 2017. Meanwhile Ayinda Germain of SAAR insurance company, the measure started being implemented only as from the month of November. Attempts to get an independent confirmation information were futile partly due to the reticence of insurance companies to disclose information on beneficiaries or the availability of beneficiaries to testify. “People only complain when they are not compensated but when they receive money, they tell no one”, said Lemb Aaron. Meanwhile Ayinda Germain says studies has not yet been done on the s...