Sasria SOC Limited Regulation Accounting Section

Key Takeaways

• Sasria agents must remit premiums within 30 days from the end of the month in which Sasria cover commences (applies to monthly and annual policies)
• Remittance must be submitted via Annexure 1 return with mandatory details (agent name/address/VAT number/year of account/month of business/collection month/payment frequency) and sent by email to Sasria Finance or via Customer Web Portal (CWP)
• Late premium payment penalty: fixed non pro-rata 10% of nett premium per month for premiums transferred late into Sasria bank account
• VAT: premiums and sums insured are inclusive of VAT; Sasria fees to agents/intermediaries inclusive of VAT; VAT-exclusive underlying policies require increasing Sasria sum insured by VAT element
• Minimum premium rules: minimum premium per policyholder per rating class cannot be pro-rated and applies to individual and group scheme policies
• Pro-rata allowed only in specified instances (e.g., first-time coupon/policy with period <12 months, aligning to renewal date/financial year-end, expiry date changes, sum insured adjustments, midterm insurer change, and small pro-rata waivers/refunds thresholds)
• Refunds: minimum premiums may not be refunded; refunds allowed only in listed circumstances; no refunds for previous periods more than one year unless Sasria grants written confirmation
• Premium reversals require application to Sasria with supporting documentation; unauthorized reversals may lead Sasria to dishonour claims if prejudiced
• Unpaid premiums: if not received within the legal time frame under the Short-Term Insurance Act 53 of 1998, coupon/policy lapses; agent may reverse premium raised, but claims are considered if premium is paid
• Policy fee structure: non-motor agents retain 27.5% of premium (max 15% rebate to intermediary); motor/motor fleet agents retain 25% per policy (max 12.5% rebate to intermediaries)
• External audit certificates: agents with annual estimated nett premium of R5 million or more must submit audit certificates at half-year intervals; due dates are 30 Nov (for period ending 30 Sep) and 31 May (for period ending 31 Mar)
• External audit exemption: agents with annual nett premium < R5 million and all Captives exempt from two audits per annum; required to submit one audit certificate per annum covering 12 months ending 31 March
• Late audit certificate penalty: R500.00 per day for certificates received after the specified period; extension requests must be made in writing to the Finance Director before expiry
• Sasria SOC Limited
• Sasria agents
• Intermediaries
• Sasria Internal Audit
• External auditors
• Finance Director
• Short-Term Insurance Act No. 53 of 1998
• Value Added Tax Act No. 89 of 1991