Reserve Bank of Malawi

Pensions & Insurance Supervision

About Pensions and Insurance Supervision

The Pension and Insurance Supervision (PISU) Department of Reserve Bank of Malawi was established as an off-shoot of Supervision of Non-Bank Financial Institutions Department (SNBFI) on 1st July 2010. The department was created to allow for more focused regulation and supervision of pension and insurance sectors as the scope of supervision of the defunct department was considered to be too wide to achieve the desired results.

The mission of the department is to foster the existence of a fair, safe, sound and stable pension and insurance industry in Malawi in line with international supervisory standards. In pursuance of this mission, the department performs its work with professionalism, integrity, impartiality, and in a friendly and cooperative manner but without compromising its authority or mandate.

The Department has the following core strategic objectives:

  • ensuring the existence of an all inclusive and regulated pension and insurance sector;
  • developing the pension and insurance sector and enhancing stakeholder confidence in pension and insurance sector services in order to broaden and deepen the market;
  • safeguarding the interests of policyholders and pension fund members;
  • fostering a competitive, cost effective environment and a level playing field in the pension and insurance industry through provision of prudential directives and regulations; and
  • Providing quality, professional and effective supervisory and regulatory service.

The department has six key result areas namely:

  • entry control
  • on-going supervision
  • policy development
  • enhancement of fair competition and market development
  • consumer education and protection
  • exit administration

Contact Details

Further information or inquiries should be addressed to:

The Director
Pension and Insurance Supervision Department
Reserve Bank of Malawi
P. O. Box 565
Blantyre
Malawi
Tel. No.: (265) 1 820 299/444
Fax No.: (265) 1 832 222
Email: pisu@rbm.mw
Supervision of the Insurance Sector

The Insurance Act 2010 provides the primary legislative framework which governs the insurance market in Malawi. The main purpose of supervising insurance entities is to ensure that they are being operated in a sound and viable manner so as to develop and maintain public confidence in the insurance sector. To this end the primary responsibility of the Registrar is to protect the interests of the public by administering a regulatory and supervisory regime that promotes decency and fairness in the operating environment by encouraging insurance companies to confine their risk taking into acceptable levels.

It is, therefore, expected that the insurance industry will play a pivotal role in enhancing access to financial services and products by majority of Malawians.

ONGOING SUPERVISION

The Department monitors financial performance of market players through continued off-site surveillance of all insurance market institutions using financial statements provided by the regulated institutions on a quarterly basis. The department conducts periodic onsite examinations mainly as a follow up on to the off-site findings. As required, findings of such onsite examinations are reported to the concerned institutions.

The Reserve Bank currently regulates and supervises the following market players which make up the insurance industry:

  • General Insurance Companies
    General Insurance companies undertake liabilities under a contract of insurance to indemnify a person in respect of any loss or damage, including a liability to pay damages or compensation contingent upon happening of a specific event. To this end, general insurance companies issue non-life policies, otherwise known as property and casualty.
  • Life Insurance Companies
    Life Insurance companies undertake liabilities under a contract of insurance to indemnify a person in respect of any loss or damage, including a liability to pay damages or compensation contingent upon happening of a specific event. To this end, Life Insurance companies issue policies that cover liabilities contingent on the life of an individual.
  • Reinsurance Companies
    Reinsurance companies on the other hand, undertake liabilities to pay money to insurers or reinsurers in respect of contractual liabilities or insurance business incurred by insurers or reinsurers arising out of events. In effect, reinsurers provide insurance services to insurance companies or indeed, other reinsurance companies.
  • Insurance Brokers
    Insurance brokers are entities that act as agents of the insuring public on insurance products, providing advisory or risk management services and may assist in soliciting, negotiating and procuring of contracts of insurance or reinsurance in exchange of a commission.
  • Insurance Agents
    Insurance agents are persons or companies which sell insurance products on behalf of insurance companies in exchange for a commission. Insurance agents will be appointed by insurance companies to issue or collect proposals and policies, and collect insurance premiums to be passed on to insurers.
  • Insurance Loss Assessors/Adjusters
    Insurance loss assessors/adjusters are persons or entities that are engaged by insurers or policyholders to assess and establish the amount of loss/damage resulting from an event. This professional opinion may form the basis on how much should be paid in claims arising out of the event.

Supervision of Pensions

The Pension Act provides the primary legislative framework for regulation and supervision of the pension industry in Malawi. The main purpose of regulating and supervising the pension industry is to ensure that trustees and service providers act in the best interest of pension members, and that pension funds are operated in a safe, sound and viable manner in order to achieve the objective of providing retirement savings. Ultimately, this will help to develop and maintain public confidence in the mandatory pension scheme as well as providing social and financial security in retirement. At the aggregate level, the accumulation of savings through pension funds contributes significantly towards capital formation critical to creation of investments. If properly channeled the investments may positively contribute to economic growth.

Regulatory Framework
Document Title Released
 Insurance (Minimum Capital and Solvency Requirements for Life Insurers) Directive, 2017 Oct 11, 2017
 Insurance (Minimum Capital and Solvency Requirements for General Insurers) Directive, 2017 Oct 11, 2017
 Insurance (Minimum Capital and Solvency Requirements for Reinsurance Companies) Directive, 2017 Oct 11, 2017
 Insurance (Classes of Insurance Business) Directive, 2017 Oct 11, 2017
 Financial Services (Insurance Supervisory Levy) Regulations, 2017 Oct 03, 2017
 Pension (Pensionable Emoluments) Directive, 2014 Sep 16, 2014
 Pension (Payment of Benefits from Pension Funds) Directive, 2014 Sep 16, 2014
 Insurance (Placement of Business Outside Malawi) Directive, 2014 Sep 16, 2014
 Financial Services (External Auditors and Related Matters for Insurance Business) Directive, 2014 Sep 16, 2014
 Financial Services (Licensing and Registation of Pension Entities) Directive, 2014 Sep 16, 2014
 Insurance (Claims Management) Directive, 2014 Sep 16, 2014
 Minimum Capital and Solvency Requirements for General insurers Directive Jul 27, 2011
 Minimum Standards on Corporate Governance for Insurance Companies Directive Jul 15, 2011
 Premium Payments to General Insurance Companies Directive Jul 15, 2011
 Risk Management Framework for Insuance Companies Directive Jul 15, 2011
 Suitability of Persons Associated with Ownership and Management of Insurers and Insurance Brokers Directive Jul 15, 2011
 DIRECTIVE NO. RI05-08/MC&SRR - Minimum Capital and Solvency Requirements for ReInsurers Apr 13, 2011
 DIRECTIVE NO. RI04-08/MC&SRL - Minimum Capital and Solvency Requirements for Life Insurers Apr 13, 2011
 DIRECTIVE NO.RI01-07/FRRG-Financial Reporting Requirements For General Insurance Business Apr 13, 2011
 DIRECTIVE NO.RI02-03/FRRL01-Financial Reporting Requirements For Life Insurance Business Apr 13, 2011
 DIRECTIVE NO..RI04-07/FRRR-Financial Reporting Requirements For Reinsurance Business Apr 13, 2011
Register of Licensed Entities
General Insurance Companies
  1. Charter Insurance Company Ltd http://www.charter-insurance.mw/
  2. General Alliance Insurance Company Ltd http://www.generalalliancemw.com/
  3. NICO General Insurance Company Ltd http://www.nicomw.com/index.php/companies/nico-general/
  4. Prime Insurance Company Ltd http://www.primeinsurance.mw/
  5. Britam Insurance Company Malawi Ltd http://www.realinsurance.co.mw/
  6. Reunion Insurance Company Ltd http://www.reunioninsurance.net/
  7. United General Insurance Company Ltd http://www.ugimalawi.com/
  8. Co-operatives General Insurance Limited
Life Insurance Companies
  1. NICO Life Insurance Company Ltd http://www.nicomw.com/index.php/companies/nico-life/
  2. Old Mutual Life Assurance Co. MW Ltd http://www.oldmutual.co.mw/
  3. Smile Life Insurance Company Ltd http://www.smilelifeinsurancemw.com/
  4. Vanguard Life Assurance Company Ltd http://www.vanguardlifemw.com/
  5. Co-operatives Life Assurance Limited
Reinsurance Companies
  1. Malawi Reinsurance Company Ltd http://www.malawire.com/index.html/
Insurance Brokers
  1. AON Malawi Ltd http://www.aon.com/malawi/
  2. Budget Insurance services http://www.aon.com/malawi/
  3. Canopy Insurance Brokers Ltd Email: jkateka@canopybrokers.com
  4. City State International Ltd Email: citystate@sdnp.org.mw
  5. GG Insurance Brokers Ltd Email: jchapola@gginsurancebrokers.com
  6. Guardian Insurance Services Ltd Email: gis@malawi.net
  7. Hubertus Clausius (Malawi) Ltd http://www.hubertusmw.com/
  8. Kingfisher Insurance Brokers Ltd http://www.kingfisher.mw/
  9. Mahogany Insurance Brokers Ltd Email: mahogany.mibrol@gmail.com
  10. Marsh Malawi Ltd Email: marshbt@marsh-afrs.co.mw
  11. Microensure Brokers
  12. Rhino Insurance Brokers Ltd Email: rhinoinfo@rhinoinsurancemw.com
  13. Star Insurance Brokers Email: angomaz@starinsurancebroker.com
  14. Trinity Insurance Brokers Ltd Email: trinityinsurance@malawi.net
Agents for Brokers
  1. FDH Bank http://www.fdh.co.mw/
  2. National Bank of Malawi http://natbank.co.mw/
  3. NBS Bank Malawi Ltd http://www.nbsmw.com/
  4. Opportunity Bank Malawi http://www.oibm.mw/
  5. Standard Bank Limited http://www.standardbank.co.mw/
General Insurance Agents
  1. Breakthrough Insurance Agency
  2. Central Insurance Agency Email: graphixsc@yahoo.com
  3. CHC Insurance Agency
  4. Chisangalalo Insurance Agency Email: manzymoyo@ymail.com
  5. Coconut Insurance Agency
  6. Crown Insurance Agency
  7. Direct Insurance Agency Email: directinsuranceagency@yahoo.com
  8. Equatorial Insurance Agency
  9. Future Insurance Agency
  10. Hamax Insurance Agency Email: matemba@yahoo.com
  11. Henliz Insurance Agencies Email: kumwendahenrysmart@yahoo.com
  12. Hope Insurance agency Email: noelmasangwi@gmail.com
  13. Ibex Insurance Agency Email: fhumbalume@gmail.com
  14. Impact Insurance Agency Email: allie.twanje@impactinsurancemw.com
  15. Indetrust Ltd Email: indetrustltd@indetrust.com
  16. LAUDO Insuance Agency Email: laudoinsuserv.yahoo.co.uk
  17. Mc Freed Insurance Agency
  18. Nata Insurance Agency
  19. Orama Insurance Agency
  20. PAGAT United Insurance agency Email: dda@malawi.net
  21. Pamib Insurance Agency Email: soniangosi@gmail.com
  22. Premier Insurance Agency Email: chifundomautanga@yahoo.co.uk
  23. Progressive Insurance Agency
  24. Ranila Insurance Agency
  25. Reliable Insurance agency
  26. Resilient Insurance Agency Email: bmk@kifsmw.com
  27. Roland insurance Agency
  28. Rossal Insurance Agency
  29. Senate Insurance Agency
  30. Specific Insurance Agency
  31. Ultimate Insurance Agency Email: chivungan@gmail.com
  32. Vepro Insurance Agency Email: mnamakhwa@yahoo.com
  33. Vision Insurance Agency
  34. Vepro Insurance Agency Email: mnamakhwa@yahoo.com
  35. Worldwide Network Insurance Agency Email: worldwideinsurance@gmail.com
  36. Thundu Insurance Agency