At Phoenix of Botswana Assurance Company Limited, we prioritize ethical conduct, transparency, and fair treatment in all our business transactions. To maintain these standards, this Related Party Policy aims to provide guidelines for interactions and transactions involving related parties to prevent conflicts of interest and ensure fair dealings.
1. Definition of Related Parties:
Related parties are defined as individuals or entities closely associated with Phoenix of Botswana Assurance Company Limited. This includes but is not limited to:
- Directors, officers, and their immediate family members.
- Subsidiaries, affiliates, or joint ventures associated with the company.
- Key management personnel and their close family members.
- Any entity over which the company has significant influence or control.
2. Transactions with Related Parties:
Disclosure and Approval:
All transactions involving related parties must be disclosed in detail to the Board of Directors for evaluation and approval. These transactions should be in line with the company’s best interests, conducted at arm’s length, and comparable to similar transactions in an open market.
Conflict of Interest Procedures:
In the event of potential conflicts of interest, employees and related parties must disclose such conflicts immediately and refrain from participating in decision-making processes involving those transactions.
3. Fairness and Transparency:
Fair Pricing and Terms:
All transactions with related parties must be conducted on fair and reasonable terms, reflecting the market value. Pricing and terms should be thoroughly documented and reviewed to ensure fairness and transparency.
Avoidance of Preferential Treatment:
No related party shall receive preferential treatment over other stakeholders or be favored in transactions due to their association with the company.
4. Compliance and Review:
Regular Review and Documentation:
All related party transactions must be appropriately documented and periodically reviewed to ensure compliance with this policy. Records of related party transactions should be maintained accurately.
Annual Disclosure:
The company will disclose related party transactions in its annual financial reports, including the nature, extent, and terms of the transactions.
5. Communication and Training:
Employee Awareness:
All employees shall be made aware of this policy and trained to identify and report related party transactions or potential conflicts of interest.
Regular Training Programs:
The company will conduct periodic training programs to reinforce the importance of ethical conduct and compliance with this policy.
Conclusion:
Phoenix of Botswana Assurance Company Limited is committed to upholding the highest standards of integrity, transparency, and fairness. This Related Party Policy serves as a guiding framework to ensure the proper management of related party transactions while safeguarding the company’s reputation and stakeholders’ interests.
This policy emphasizes the company’s commitment to ethical conduct and compliance while ensuring the prevention of conflicts of interest and maintaining transparency in related party transactions. It’s important to customize and review the policy according to the specific needs and legal requirements of Phoenix of Botswana Assurance Company Limited.
