Statement on Santam engaging in anti-competitive practices
30 July 2024
Umkhonto Wesizwe Party is deeply concerned and wishes to address the latest attack on the rights, sustainability and financial viability of the marginalised majority of Santam's black, coloured, indian and white owned SMME's in order to create greater profit for its shareholders at their expense.
It has been brought to Urnkhonto Wesizwe's attention that Santam is engaging in punitive anti-competitive behaviour and blatantly abusing its dominant position in the South African market, of the back of the newly issued and concluded Service Level Agreements in the short-term insurance industry and in particular the towing and panel beating sectors.
Santam Which was founded by the Broederbond, coupled With its remnants Of ill-gotten gains Of apartheid, continues to spit in the face Of economic inclusion Of marginalised and disenfranchised professionals and entrepreneurs whilst posturing as a patriotic corporate citizen. Umkhonto Wesizwe Party is resolute in its Stance to defend professionals and entrepreneurs against exploitative and perfidious companies such as Santam. We are committed to fight and dismantle white monopoly capital and its systematic exclusion of the black professionals and entrepreneurs from economic participation.
Umkhonto Wesizwe party has further observed the introduction of what seemingly are favoured corrupt entities who seek to monopolise the industry for personal gain being both a player and referee, that abuse and financially rape all the profits Which are meant to facilitate the payment of staff salaries and operational costs of service providers in order to gain more profit, which they do by ring-fencing certain components of procurement to benefit themselves to the exclusion Of deserving SMME'S. The reintroduction of such punitive SLA's by Santam perpetuates unfair and discriminatory industry practices. We hereby request Santam to immeidately review and withdraw these punitive SLA's Which continue to impede on the economic inclusion and participation Of SMME's in the industry. We hereby call on all our members, members Of the progressive caucus, and all black, coloured, indian, and white-owned SMMEs, as well as the public, to immediately implement a consumer boycott against Santam and their parent company Sanlam, which will potentially result in the largest client exodus in the history Of the short-term insurance industry. This class action led by umkhonto Wesizwe Party will lead to the orchestration of a complete denial of service from all its service providers within 24 hours.
Issued by Wesley Douglas on behalf of MKP, 30 July 2024
