THE Zambia State Insurance Corporation (ZSIC) has sued a milling company belonging to Kasama Member of Parliament, Geoffrey Mwamba popularly known as GBM for alleged failure to pay more than K58, 000 in insurance premiums.
ZSIC general insurance limited has asked the Lusaka High Court to order GBM milling company to it the sum of K58, 107.28 owed to it.
The Corporation has also asked the court to order the milling company to pay damages for breach of contract, interest, costs for court proceedings and any other relief the court may deem fit.
ZSIC stated in its writ of summons filed in the principal registry yesterday that it was at all material times an insurance company incorporated under the Company’s Act.
It stated that on various dates from December 31, 2009, GBM milling entered into contracts to have their interests insured by ZSIC under various insurance policies.
ZSIC said the milling company was in arrears on insurance premiums from December 31, 2009, to date and was in breach of contracts.
It further alleged that GBM milling company had refused, failed or neglected to pay the insurance, the reason for the court action.
Thats bs. Insurance premiums are paid in advance. If this insurance company continued to cover him even though premiums were not collected, its their fault not his. Can they prove they would have covered a loss if it had occured during the time when premiums were not paid? This is an insurance scam to embarrasss this man. Insurance is simple, if you dont pay, they cancel your policy and trust me these guys rarely loose any money.
@Gono please get an education on how cover is issued and applied. Go to any insurance company and ask…you can make a ‘down-payment’ and the instalment payments to ensure you are on cover incase of an incident and you are in arrears..you could be the rest of the cover and get compensation….so if you neglect to pay premiums you still under cover unless it has lapsed or you cancel the policy…even a cancelled policy requires that you pay any sums owed therein…..so unless you have the full file you shooting in the dark.
Cancel the policy. You don’t pay then you are not covered. If he claimed whilst not paying for the policy then fire the guy who authourised the payment.
THE WICHES KABIMBA AND MUBEMBE ARE BENIND THIS.THEY WISH TO EMBARANCE GBM….TAMWAKA MUKWANISHE……
no political maturity pa zambia especialy those in power be it mmd pf,its so pathetic no one is mature the entire pf,why wasnt the chap pursued when he was a minister?ARE WE ZAMBIANS CURSED OR ITS THE LEVELS OF POVERT SUCH THAT EDUCATED PEOPLE EASILY COMPROMISE THEIR ENTEGRITY?
A scandal involving theft of stocks happened at Atlas copco in Chingola sometime in 2009. The culprits were are degree holders with good remuneration. The question which arose was why is there so much stealing among all categories of workers and politicians in Zambia cutting across all age groups?. Who is going to serve our motherland?.
No wonder Tanzania has embarked on a massive infrastructure development with good quality roads and other buildings because corruption there is mostly done by the uneducated policemen and other low class citizens. The infrastructure development in Zambia is a circus because abuse is starting from state house to the technocrats at ministry of finance and RDA up to a “danka boy” at the site who also wants to walk away with a pocket of cement.
Mmmmmmmm … very strange indeed. Was it a LOAN? You just do not provide cover where premiums are not paid!!!!!
I agree with @1 gono: Insurance is payable in advance. You sign contract after paying insurance premium in full or in part. If in part you then have to pay periodically until you finish as agreed, or you can pay lump sum later in the premium period as agreed. Under that contract the insurer covers you for losses or damage etc to your property. What is it that GBM is being sued for? Repeat or continued insurance? Did he sign for continuation of he was told not to do anything the cover will just continue? But he went to bank and cancelled direct debt timely and the insurance never received remittal from GBM, thats it, end of contract. You expect nothing from him unless you just want to suck him. He stopped being your client when he stopped paying for insurance service. Back off, beat it.
It is strange, has he moved his insurance policies from ZSIC? If he has may be ZSIC is not happy. Was there a claim which ZSIC paid, otherwise the insurance policies must have lapsed for non payment of premiums. Educate me on the matter.
Since when did insurance companies begin insuring pa nkongole? I thought it was clear that one is covered for the period they have paid.
This is rather strange. If you dont pay your premiums, it simply means you are not covered for that period and should anything happen, you cannot claim. Zambia is indeed becoming a very strange country.
What if he has changed the Insurance Company. Premiums are paid if you still insure with the concerned insurance company.
You default to remit your premium, you automatically cease to be a client and you are not covered. What is ZISC suing for? Did he sign to be life member? I don’t get it.
its unfortunate that zsic has a bunch of workers wu does not kno wat insurance means. i think zsic shud be pursued bcoz the whole story means that ministers do no remit their insurance dues but paid for by zsic.no wonder they start claiming when one ceases to be minister.fire officers concerned at zsic
There is nothing political comrades here………
The insurance company can only sue you if you have breached the contract you agreed to sign which is the case here.
It is allowed to pay your premium in installments for a particular period you want to be covered and if u fail to do that you can be sued.The insurance company is also obliged to cover you during this period and you can can sue them if they refuse to compensate you becoz owe them. all you need to do is pay your balance…
Contract between insured company and insured means the insurance rates will neither go up nor will the company drop you within that period as long as premiums are paid if you are on an installment plan. People loose their jobs everyday and have to choose between food and insurance. Therefore this insurance company will be in court every day trying to to collect on delinquents. A smart company makes you pay 45days in advance and 2 weeks later you get a bill stating that your prem are due in 2wks and if you fail to pay you get a notice of cancelation in 2wks, therefore you have used up your 45days. Insurance cancelled, nobody owes anybody anything.
Some *****s have been paid to discredit the big man, no doubt. There is no insurance which is done on credit, what happens wen a calamity occurs? no payment no cover. Hope these same *****s can extend their stupid gesture to poor ordinary citizens like myself. Petty politics will put this country on fire some day.
K58000?Not only will this money come from GBM’s pocket but his grandson’s.ZISC do not allow yourselves to be dragged into political wars or will remain lagging behind in the insuarance industry.VIVA mwishikulu Sosala Kanyanta Chitimukulu.