Amendment to be made to Insurance Act

The Grenada Cabinet is considering an amendment to the Insurance act in order to exempt certain entities that are not directly involved in the insurance business.

Deputy Prime Minister, Elvin Nimrod told a recent post-Cabinet Press briefing at the Ministerial Complex that companies that are not directly involved with insurance, are having trouble getting insurance coverage for their employees and other associates.

“The GUT  (Grenada Union of Teachers) since 1995 has been operating a group medical plan for the benefit of its employees and their dependents, because of the insurance nature of that business, the GUT is supposed to register under the Insurance act specifically under GARFIN because GARFIN supervises those activities,” he explained.

“It was proposed that because of the limited nature of that business, that it would have been too onerous to subject the GUT to that kind of a scrutiny – so once the amendment is made, the GUT and other insurance type companies of Friendly Societies, they will not be required to register under the Insurance act,” he added.

According to Nimrod who is the Minister of Legal Affairs, Cabinet has accepted a proposal to this effect and it will be taken to Parliament to become part of the law.

He said, the GUT and oth4er Trade Unions and Friendly Societies will be allowed to conduct limited business just for the benefit of their employees and their employees’ dependents and would not have to register under the Insurance act.

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