Insurance protection: A shared duty
The Namibia Financial Institutions Supervisory Authority (NAMFISA) operates under the Namibia Financial Institutions Supervisory Authority Act, 2001 (Act No. 3 of 2001), which establishes its mandate to regulate and supervise non-banking financial institutions and ensure consumer protection.This Act empowers NAMFISA to enforce compliance, promote fair market conduct, and protect consumers from exploitation. NAMFISA’s consumer protection strategy, mandated by the NAMFISA Act, 2001, ensures a fair and stable financial system through market conduct supervision, financial literacy, and accessible complaints resolution. The Treating Customers
Fairly (TCF) framework underpins this approach.
Key legislation includes the Long- term Insurance Act, 1998 and Short-term Insurance Act, 1998, which require prompt, fair claims handling and transparent policy terms (e.g., Section 25 of the Long-term Act). The Financial Institutions and Markets Act, 2021 further strengthens oversight. Customer complaints are a vital metric, signaling market conduct issues and guiding
regulatory interventions.
NAMFISA data shows complaints fluctuated over five years, not steadily rising. Complaints peaked in 2023 with 247 cases in long-term insurance, then dropped by about 85% in 2024, while resolution rates improved from 91% to 100%. Refunds increased from N$1.7 million in 2023 to N$4.4 million in 2025, indicating fewer complaints but higher-value disputes.
Complaints were primarily linked to non-payment of funeral benefits, repudiated claims, and poor communication regarding insurance contracts.
Lastly, It is critical for financial advisers in Namibia to understand consumer protection because they act as the primary link between insurers and clients. Financial Advisers must comply with Long-term Insurance Act, 1998 (Act 5 of 1998) and Short-term Insurance Act, 1998 (Act 4 of 1998), which require fair disclosure, transparent policy terms, and ethical conduct. These laws, along with the Financial Institutions and Markets Act, 2021, aim to prevent mis-selling,misinterpretation and misrepresentation to ensure claims are handled promptly, and protect consumers from unfair practices.
Understanding consumer protection helps financial advisers maintain compliance, build trust, promote financial literacy, and reduce complaints. Complaints unresolved by insurers can be escalated to NAMFISA or regulator via online, email, or in-person channels.
*Ruben Haimbili is the manager for bancassurance, agency and sales at a public entity. He writes in his own capacity and the views expressed herein do not reflect those of his employer.**