Sanlam Ltd.’s Channel Life unit was granted a request by a South African court to delay a case it brought against the government to get clarity on how the state-welfare system will be cleaned up to allow money to be deducted from monthly grants for funeral cover.
Judge John Peter postponed the case before the North Gauteng High Court in Pretoria on Tuesday, without setting a new date to allow Channel Life to assess new regulations announced by South Africa’s government at the end of last week.
The insurer is among companies which legally sell funeral cover to welfare recipients. The government is trying to clamp down on illegal deductions from welfare payments for mobile-phone airtime, loans and other services. It also wants to confirm that all welfare recipients have mandated any deductions from their social grants.