SASSA opens criminal case after alleged fake insurance ‘promotion’ targets beneficiaries in Eastern Cape
Image: Sassa official page / X
Fifteen people were arrested in the Eastern Cape after allegedly posing as South African Social Security Agency (SASSA) officials while selling funeral policies linked to 1Life Insurance to grant beneficiaries under the guise of a “SASSA promotion”. The insurance company has since suspended the broker involved in the incident.
The suspects were apprehended in Khulile Location in the Raymond Mhlaba Local Municipality on April 27 following an intervention by law enforcement officials and community leaders, and were taken to Debe Nek Police Station.
SASSA said the group had allegedly been conducting unauthorised insurance sales while misrepresenting themselves as operating in partnership with the agency.
“The Agency makes it unequivocally clear that it has no partnership, arrangement, or authorisation for any private company to sell insurance products using its name or to target beneficiaries under its banner,” SASSA said.
A criminal case has since been opened.
Responding to the incident, 1Life Insurance said those arrested were not its employees but agents of an independent broker contracted to sell funeral policies on its behalf.
“1Life’s employees do not sell SASSA funeral policies to grant recipients; independent brokers do, therefore, 1Life has not been made aware of any legal action.
“1Life Insurance notes the incident referenced and confirms that the persons involved in such are agents of an independent broker appointed by 1Life Insurance to sell funeral policies on its behalf, and not 1Life Insurance’s employees,” the insurer said.
The company confirmed that it has suspended the broker involved pending an internal investigation.
“1Life Insurance has identified the independent broker involved and can confirm that that the independent broker has been suspended pending an investigation into the serious allegations,” the company said.
It added that the use of SASSA’s name in sales pitches is strictly prohibited and stressed that it maintains “a zero-tolerance approach” to any form of misrepresentation – particularly when engaging with vulnerable communities.
“1Life Insurance respects SASSA’s mandate and brand, and is fully supportive of its efforts to protect beneficiaries from any form of misleading conduct.”
SASSA has urged beneficiaries to demand identification from anyone claiming to represent the agency and to report suspicious activity immediately.
“SASSA strongly condemns this unbecoming conduct,” the agency said, warning that “the misuse of its name to exploit beneficiaries is a serious offence and will be met with firm legal action.”
The agency reiterated that all legitimate SASSA officials carry branded identification cards and said members of the public have the right to demand proof of identification from anyone claiming to represent the agency.
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