Hollard Dotsure Transfer

Frequently Asked Questions

1. Information about Hollard, Dotsure and the Transfer

1.1 Who is Hollard?

The Hollard Insurance Company Limited (registration number 1952/003004/06) ("Hollard") is a public company duly incorporated in terms of the Companies Act, 2008 ("Companies Act") and a subsidiary of Hollard Holdings Proprietary Limited.

Hollard is a licensed non-life insurer incorporated in 1952 which forms part of the Hollard group of companies, a large insurance group in South Africa which underwrites all classes of personal lines, non-life business as well as the majority of classes of commercial lines business.

1.2 Who is Dotsure?

Dotsure Limited (Registration Number 2006/000723/06) ("Dotsure"), a public company with limited liability duly incorporated in terms of the Companies Act and is a subsidiary of Badger Holdings Proprietary Limited, which is a member of Badger group of companies ("Badger Group").

Dotsure is a licensed non-life insurer and underwrites all classes of personal lines non-life business as well as specific classes of commercial lines business.

2. Transfers of Policies from Hollard to Dotsure

2.1 Why is the insurer of my policy changing?

Hollard is currently the insurer of your policy. Hollard is establishing a sizeable and focused direct insurer together with Dotsure which will see Hollard gain a significant shareholding in the Badger Group of which Dotsure is a 100% owned subsidiary. This focused direct insurer will be better placed to competitively service your policy. Hollard will be transferring its direct personal lines business to Dotsure subject to approval by Prudential Authority as required in terms of section 50 of the Insurance Act, 2017 (“Insurance Act”). Dotsure will accordingly become the new insurer of your policy after the approval of the transfer by the Prudential Authority ("Proposed Transfer").

2.2 Which policies are affected by the transfer?

The following non-life personal lines insurance policies are underwritten by Hollard:

Direct Personal Lines Policies – Motor, Property and Warranty
Personal Lines Motor and Home Policies – Intermediated through Bidvest Financial Services
Personal Lines Motor Policies – Intermediated through Motorhappy (Pty) Ltd
Personal Lines Motor Policies – Intermediated through Liquid Capital (Pty) Ltd
Personal Lines Miscellaneous Policies – Pet Policies

2.3 How will the policies be transferred?

The Transfer Policies will be transferred from Hollard to Dotsure as part of a transfer of business agreement concluded between Hollard and Dotsure. This means that Dotsure will become the new insurer of the Transfer Policies.

This Proposed Transfer is subject to approval by the Prudential Authority (as required in terms of the Insurance Act) and has to follow a detailed regulatory process.

After approval of the Proposed Transfer by the Prudential Authority, Dotsure will become the insurer of the Transfer Policies and provide policyholders with cover in terms of the Transfer Policies. All the terms and conditions of your Hollard policy will remain the same except Dotsure will become the insurer of your policy.

3. Do you have to give consent to the transfer of your policy or cover?

No. Consent by a policyholder is not required for a transfer in terms of section 50 of the Insurance Act. You may raise concerns or queries through the various complaints channels that have been provided.

4. What does this mean for my policy if the Proposed Transfer is approved?

As consent is not required, a detailed regulatory process is prescribed in the Insurance Act and the Prudential Authority must approve the Proposed Transfer.

Cover in terms of the Transfer Policies will remain unchanged and benefits will remain the same.

The only change will be that after the approval of the Proposed Transfer by the Prudential Authority, the Transfer Policies will be underwritten by Dotsure and you will deal with Dotsure staff for all services and benefits provided in terms of your policy including any open claims that you may have at the time.

5. Will policy benefits remain secured?

Yes. Policy benefits as per your current insurance contract will remain secured and will be unchanged. No additional charges or costs will be levied against any policy following the Proposed Transfer.

6. How will the Proposed Transfer take place?

The transfer of the business of an insurance company is subject to a detailed regulatory process in terms of the Insurance Act and must be approved by the Prudential Authority.

The following steps in respect of the Proposed Transfer have already occurred:

Hollard and Dotsure have applied for approval of the Proposed Transfer with the Prudential Authority
The heads of the actuarial functions of both Hollard and Dotsure have issued reports regarding the soundness of the Proposed Transfer
The Prudential Authority has given its preliminary support for the Proposed Transfer and has allowed Hollard and Dotsure to communicate with the policyholders regarding this change, as they are required to do in terms of the Insurance Act
Notice of the Proposed Transfer has been published in various national newspapers and other forms of communication to ensure that all policyholders receive adequate notice of the Proposed Transfer

Any policyholder of a Transfer Policy or other interested party affected by the Proposed Transfer may contact the Prudential Authority on any matter in connection with the Proposed Transfer by no later than 31 May 2021.

If you have an objection to the Proposed Transfer, you must make representations to the Prudential Authority by calling and/or emailing and/or writing to the Prudential Authority. These representations must reach the Prudential Authority by no later than 31 May 2021. If you do not have an objection to the Proposed Transfer, you do not have to file affidavits or make representations. Once the Prudential Authority approves the Proposed Transfer, your policy will be automatically transferred to Dotsure. You may also object directly to Hollard or Dotsure at the communication channels that will have been communicated to you.

Please note that the Ombudsman for Short Term Insurance and the Ombud for Financial Advisory and Intermediary Services will not be able to assist you in this matter.

7. What is the Transfer process?

7.1 The process of the Transfer will be as follows:

Timelines

Item	Action	Date
1.	Initial discussion with the Prudential Authority in respect of the transfer of the Proposed Transfer.	7 July 2020.
2.	Follow up discussion with the Prudential Authority and Financial Sector Conduct Authority in respect of the transfer of the Proposed Transfer.	27 August 2020.
3.	Submit the following application forms (including annexures, e.g. Communication Plan, etc.) to the Prudential Authority: • Application Form IF024 • Application form IF021 collectively "application forms"	1 February 2020.
4.	Prudential Authority to consider the Application Forms and provide feedback on Communication Plan and other issues arising from Application Forms.	15 February 2021.
5.	An updated proposed Communication Plan, communication documents and timeline with comments received from the Prudential Authority. Revised documents to be sent to the Prudential Authority.	25 February 2021.
6.	Submit a full list of documents to be made available for inspection to the Prudential Authority.	4 March 2021.
7.	The Prudential Authority to provide in-principle approval of the implementation of the timeline and proposed Communication Plan.	16 April 2021.
8.	Prudential Authority to confirm the list of documents to be made available for inspection.	16 April 2021.
9	Implementation and roll-out of approved Communication Plan. (One week period is provided for the printing and distribution of letters. This one week period takes into account that the communication notices should reach the policyholders before the commencement of the Inspection Period).	Commence 15 April 2021 until 22 April 2021.
10	Documents made available on the websites of Hollard and Dotsure.	23 April 2021.
11.	Call centres of Hollard and Dotsure to become operational concerning complaints and/or enquiries received through the Hollard and Dotsure call centres in respect of the Proposed Transfer. Furthermore, Bidvest Financial Services will set up specific channels for policyholders to contact for complaints or queries. Petsure will also set up their own communications centre to deal with all pet-related complaints and queries.	With effect from 15 April 2021 until 31 May 2021. Excluding Saturdays and Sundays.
12.	Hollard and Dotsure to communicate with Affected Policyholders.	22 April 2021 until 13 May 2021.
13.	Submit notice for publication to newspapers as required by the Prudential Authority and as set out in the approved Communication Plan.	26 April 2021.
14.	The notice appears in newspapers as required by the Prudential Authority.	29 April 2021.
15.	The notice appears in Sunday newspaper as required by the Prudential Authority.	2 May 2021.
16.	Tear-sheets of all publications to be delivered to the Head of Hollard Internal Audit Function.	To be provided as part of the report on the implementation of the process. Collect from 3 May 2021.
17.	Extract of the Audited Financial Statements for Dotsure Limited (previously Oakhurst Insurance Company Limited) for the four months ending 30 June 2020 (The full set of Financial Statements has been audited by Deloitte & Touche and an unqualified audit opinion was issued. The full set of Financial Statements is available upon request.)	With effect from 23 April 2021 until 21 May 2021. Excluding Saturdays and Sundays.
18.	Hollard and Dotsure Internal Audit teams to compile a report on the implementation of the approved policyholder communication plan.	With effect from the implementation of the communications plan on 22 April 2021 until 6 May 2021.
19.	Prudential Authority to deal with possible complaints and enquiries received during the Inspection Period.	With effect from 23 April 2021 until 21 May 2021.
20.	Heads Internal Audit Function of Hollard and Dotsure to review and report on the process.	From the implementation of the communication plan 22 April 2021 until 14 May 2021.
21.	Heads Internal Audit Function of Hollard and Dotsure to submit report with the Prudential Authority for consideration.	21 May 2021.
22.	Receive the Prudential Authority's written approval of the Application Forms.	15 June 2021.

8. What if I do not want Dotsure to underwrite any cover relating to me?

You are allowed to make representations to Hollard or Dotsure or to the Prudential Authority if you have any concerns about the Proposed Transfer. These representations must reach Hollard, Dotsure or Prudential Authority no later than 31 May 2021. The contact details are set out below. You can also cancel your policy with the underwriter at any time and arrange cover with a different Insurer.

9. Where can I obtain more information about the Proposed Transfer?

9.1 Copies of the documents mentioned below shall be available for inspection on the websites of:

9.1.1 Hollard at www.hollard.co.za

9.1.2 Dotsure at www.dotsure.co.za

9.2 The documents available for inspection will include:

9.2.1 Copy of the Application Forms (excluding annexes)

9.2.2 Copy of the extract from the quantitative reporting templates for Dotsure reflecting the financial positions before the Proposed Transfer

9.2.3 Copy of the extract from the quantitative reporting templates for Hollard reflecting the financial positions before the Proposed Transfer

9.2.4 Copy of the extract from the quantitative reporting templates for Dotsure reflecting the pro forma financial positions after the Proposed Transfer

9.2.5 Copy of the extract from the quantitative reporting templates for Hollard reflecting the pro forma financial positions after the proposed transfer

9.2.6 Extract of the Audited Financial Statements for Dotsure Limited (previously Oakhurst Insurance Company Limited) for the four months ending 30 June 2020 (The full set of Financial Statements has been audited by Deloitte & Touche and an unqualified audit opinion was issued. The full set of Financial Statements is available upon request.)

9.2.7 Copy of the annual financial statements for the year ended 2020 for Hollard

9.2.8 All communication notices

9.2.9 Any other documentation as prescribed by the Prudential Authority

10. How will my existing claims be dealt with?

10.1. Any claim that has not been fully settled will be transferred to Dotsure on the same day as my policy is transferred and Dotsure will finalise all aspects of my open claim. All claims that occur after the date of transfer must be notified to Dotsure to process at the contact details that will be provided to you.

11. Who can I contact if I have enquiries regarding the Proposed Transfer?

11.1 Please direct all queries as follows:

11.1.1 Telephonically: Hollard, at 0860 123 3279 and Dotsure, at 0861 368 7873; and

11.1.2 Email: Hollard, at policytransfer@hollard.co.za

Alternatively, please direct your enquiries to the Prudential Authority via email at SARB-PA@resbank.co.za

Information on the Hollard Dotsure Transfer