VNPF to offer enhanced member benefit

The Vanuatu National Provident Fund (VNPF) will be advancing its members social benefit program, starting with the special death benefit, and expanding into other products in the future, according to local press reports.

According to the Daily Post, published in Vanuatu, the Reserve Bank of Vanuatu (RBV) has granted VNPF a captive licence to provide these more tailored benefits for members through Vanuatu Captive Insurance Services. August Letlet, Governor of the RBV, presented the licence to the VNPF general manager Paul Kaun this week.

“This licence will enable VNPF to offer death and funeral benefits to its members at a more favourable terms to what it has previously offered. This licence will also allow VNPF to expand its products in the future as per its investment strategies,” Letlet was quoted as saying.

“It will also enable the institution to invest in building its internal capabilities to manage its insurance portfolio subject to ongoing collaboration with the RVB to ensure it achieves its business strategies.”

VNPF was reported to have submitted its application to the regulator in 2023 when the RVB Governor Letlet was the chairman of the VNPF Board, and it was approved in January 2024. Over the past months, the Vanuatu Captive Insurance Services has worked closely with RBV to meet various conditions, ensuring it operates in a sound and prudent manner.

One of the conditions for approval was that a board member must have significant insurance experience, and if VNPF wants to expand into other products, such as health insurance, it will need to apply again, according to the Governor of the RBV.

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