Close Menu
World Economist – Global Markets, Finance & Economic Insights
  • Home
  • Economist Impact
    • Economist Intelligence
    • Finance & Economics
  • Business
  • Asia
  • China
  • Europe
  • Economy
  • USA
    • Middle East & Africa
    • Highlights
  • This week
  • World Economy
    • World News
What's Hot

China reroutes exports via south-east Asia in bid to dodge Trump’s tariffs

July 6, 2025

Brics leaders condemn strikes on Iran and tariffs, but avoid direct mention of US, Israel

July 6, 2025

US threatens tariffs ‘boomerang’ next month if no deals are struck

July 6, 2025
Facebook X (Twitter) Instagram
Sunday, July 6
Facebook X (Twitter) Instagram
World Economist – Global Markets, Finance & Economic Insights
  • Home
  • Economist Impact
    • Economist Intelligence
    • Finance & Economics
  • Business
  • Asia
  • China
  • Europe
  • Economy
  • USA
    • Middle East & Africa
    • Highlights
  • This week
  • World Economy
    • World News
World Economist – Global Markets, Finance & Economic Insights
Home » SECP ceases guarantee business of the United Insurance – Business & Finance
Economist Intelligence

SECP ceases guarantee business of the United Insurance – Business & Finance

adminBy adminMay 22, 2025No Comments2 Mins Read
Share Facebook Twitter Pinterest Copy Link LinkedIn Tumblr Email VKontakte Telegram
Share
Facebook Twitter Pinterest Email Copy Link
Post Views: 34


ISLAMABAD: The Securities and Exchange Commission of Pakistan (SECP) has ceased the guarantee business of the United Insurance Company of Pakistan Limited through direction issued on May 20, 2025, under section 60 of the Insurance Ordinance, 2000.

Prior to issuance of the said Direction, a show-cause notice was issued to the United Insurance. The company obtained a stay order on February 21, 2024 from the Honourable Lahore High Court and on April 10, 2025, the Honourable Court dismissed the petition filed by United Insurance considering it without merit.

United Insurance deliberately refused to encash called guarantees, on different pretexts, over a period of time, resulting in accumulation of guarantees amounting to Rs2.2 billion by December 2023. Further complaints amounting to Rs822 million regarding non-encashment of guarantees were received during year 2024 and 2025.

Despite provision of various hearing opportunities, United Insurance failed to demonstrate the requisite compliance with regulatory requirements to carry on guarantees business.

United Insurance also made materially false statement to SECP, during the proceedings, regarding settlement of one of the guarantees, amounting to approx Rs1 billion. The matter of false statement by United Insurance is to be dealt separately by SECP based on the relevant provisions of Ordinance.

To protect the interests of policy and guarantee holders of United Insurance and to maintain the trust of public in the insurance sector, SECP took the decision to cease the guarantee business of United Insurance with immediate effect. Furthermore, United Insurance has been prohibited from issuing any new guarantees and rolling over existing guarantees. Moreover, United Insurance has been directed to fulfil its obligations with regard to already issued guarantees as and when they become due.

United Insurance has the right to seek cancellation/modification of the Direction from SECP, subject to its compliance with the requirements of regulatory framework including obtaining of proper collateral against the issued guarantees and settlement of all unpaid guarantees.

As part of its ongoing commitment to ensuring compliance and enhancing consumer confidence, SECP has addressed over 3,000 complaints since July 01, 2024, resulting in recovery of policy holders’ claims aggregating to Rs1,300 million. The proactive approach by SECP is expected to enhance compliance in the insurance sector and build public trust.

Copyright Business Recorder, 2025



Source link

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email Telegram Copy Link
admin
  • Website

Related Posts

Economist Intelligence

Egypt’s non-oil business conditions deteriorate further in June, PMI shows – Business & Finance

July 6, 2025
Economist Intelligence

Investors head into Trump tariff deadline benumbed and blase – World

July 6, 2025
Economist Intelligence

Canada could financially back aluminum producers if 50% U.S. tariffs persist, trade group says – Business & Finance

July 6, 2025
Economist Intelligence

A comment on Finance Act 2025—IV – Opinion

July 5, 2025
Economist Intelligence

Prices of essential kitchen items show mixed trend – Business & Finance

July 5, 2025
Economist Intelligence

OPEC+ speeds up oil output hikes, adds 548,000 bpd in August – Markets

July 5, 2025
Add A Comment
Leave A Reply Cancel Reply

Editors Picks

Egypt’s non-oil business conditions deteriorate further in June, PMI shows – Business & Finance

July 6, 2025

Investors head into Trump tariff deadline benumbed and blase – World

July 6, 2025

Canada could financially back aluminum producers if 50% U.S. tariffs persist, trade group says – Business & Finance

July 6, 2025

A comment on Finance Act 2025—IV – Opinion

July 5, 2025
Latest Posts

PSX hits all-time high as proposed ‘neutral-to-positive’ budget well-received by investors – Business

June 11, 2025

Sindh govt to allocate funds for EV taxis, scooters in provincial budget: minister – Pakistan

June 11, 2025

US, China reach deal to ease export curbs, keep tariff truce alive – World

June 11, 2025

Subscribe to News

Subscribe to our newsletter and never miss our latest news

Subscribe my Newsletter for New Posts & tips Let's stay updated!

Recent Posts

  • China reroutes exports via south-east Asia in bid to dodge Trump’s tariffs
  • Brics leaders condemn strikes on Iran and tariffs, but avoid direct mention of US, Israel
  • US threatens tariffs ‘boomerang’ next month if no deals are struck
  • China’s Li, Brazil’s Lula pledge joint effort to bring AI to farming in both of their countries
  • Chinese Premier Li Qiang hails ‘best in history’ Brazil ties as he meets Lula in Rio

Recent Comments

No comments to show.

Welcome to World-Economist.com, your trusted source for in-depth analysis, expert insights, and the latest news on global finance and economics. Our mission is to provide readers with accurate, data-driven reports that shape the understanding of economic trends worldwide.

Latest Posts

China reroutes exports via south-east Asia in bid to dodge Trump’s tariffs

July 6, 2025

Brics leaders condemn strikes on Iran and tariffs, but avoid direct mention of US, Israel

July 6, 2025

US threatens tariffs ‘boomerang’ next month if no deals are struck

July 6, 2025

Subscribe to Updates

Subscribe to our newsletter and never miss our latest news

Subscribe my Newsletter for New Posts & tips Let's stay updated!

Archives

  • July 2025
  • June 2025
  • May 2025
  • April 2025
  • March 2025
  • February 2025
  • January 2025
  • December 2024
  • June 2024
  • October 2022
  • March 2022
  • July 2021
  • February 2021
  • January 2021
  • November 2019
  • April 2011
  • January 2011
  • December 2007
  • July 2007

Categories

  • AI & Tech
  • Asia
  • Banking
  • Business
  • Business
  • China
  • Climate
  • Computing
  • Economist Impact
  • Economist Intelligence
  • Economy
  • Editor's Choice
  • Europe
  • Europe
  • Featured
  • Featured Business
  • Featured Climate
  • Featured Health
  • Featured Science & Tech
  • Featured Travel
  • Finance & Economics
  • Health
  • Highlights
  • Markets
  • Middle East
  • Middle East & Africa
  • Middle East News
  • Most Viewed News
  • News Highlights
  • Other News
  • Politics
  • Russia
  • Science
  • Science & Tech
  • Social
  • Space Science
  • Sports
  • Sports Roundup
  • Tech
  • This week
  • Top Featured
  • Travel
  • Trending Posts
  • Ukraine Conflict
  • Uncategorized
  • US Politics
  • USA
  • World
  • World & Politics
  • World Economy
  • World News
© 2025 world-economist. Designed by world-economist.
  • Home
  • About Us
  • Advertise With Us
  • Contact Us
  • DMCA
  • Privacy Policy
  • Terms & Conditions

Type above and press Enter to search. Press Esc to cancel.