Business in Cameroon | On August 11, Finance Minister Louis Paul Motazé (photo) issued a circular ordering insurance companies to stop adding an extra XAF1000 on auto insurance subscriptions.
“During a meeting with chairmen of national public passenger transport unions, it came to my attention that you collect an extra XAF1000 from users on compulsory auto insurance subscriptions as contributions to the operational costs of the tripartite State-Insurers-Unions commission… In that respect, I have the honor to specify that such charge is unwarranted,” Louis Paul Motazé wrote.
He further reminded that the said operational costs should be exclusively borne by the Association of Insurance Companies of Cameroon (ASAC). He then ordered insurers to immediately stop that unlawful charge. This decision was immediately praised by the consumers’ association Fondation camerounaise des consommateurs (FOCACO).
“The Minister of Finance just restored the long scorned rights of insurance products’ consumers,” the FOCACO commented.