WINDHOEK – Following public complaints that South Africa’s short-term insurer does not pay Namibian clients the N$400 when it cannot provide a cheaper insurance quote, OUTsurance has responded by saying it only pays when it had determined that the case in question falls “within the terms and condition of the N$400 campaign”.
Questions have also been raised regarding OUTsurance’s South Africa-based sales persons and administrators who conduct business in Namibia telephonically.
OUTsurance runs advertisement campaigns in which it promises to pay N$400 to every client who prove they have obtained a cheaper insurance quotation than what is offered by the company.
However, a number of Namibian consumers have come forward charging that the insurer has on numerous occasions refused to pay the advertised amount if a client presents less expensive coverage options.
“We do a few basic checks to determine if the case falls within the terms and conditions of the N$400 campaign. For example, the cover on the client’s existing vehicle cover must be the same as the quote requested from us. If the client was insured on Liability Only cover and our cover was comprehensive then we are unable to do alike for like comparison. In such an instance we would not pay the N$400 since the terms and conditions of the campaign were not met.
“We do however pay the majority of these requests,” said OUTsurance spokesperson for the company, Natasha Kawulesar, from South Africa where she is based.
She added that she could provide more feedback if supplied with the exact details of any particular case. As to why the company operates from South Africa and does not have local sales offices, the South Africa-based spokesperson said Namibian operations directly employ only 12 Namibians.
Kawulesar attributed the small number of employees to the fact that First National Bank Namibia assists with a number of support functions given that OUTsurance Namibia is a subsidiary of FNB Namibia.
“Our operations are a combined effort. FNB Namibia and OUTsurance South Africa, as shareholders of OUTsurance Namibia, assist OUTsurance Namibia in order to keep management expenses low. This allows us to provide clients with lower premiums than would otherwise be the case,” said Kawulesar.
South Africa’s OUTsurance Holdings and FNB Namibia Holdings Limited are the joint owners of OUTsurance Insurance Company of Namibia Limited. OUTsurance commenced business in South Africa approximately 14 years ago and has developed into a competitive player in the South African market within a relatively short period of time.
By Edgar Brandt