Report Coverage
The report on the Life Insurance and Reinsurance sector focuses on developments during 2016, general trends in the sector and factors that influence the success of role players. Profiles for 37 companies are provided, ranging from the big four traditional companies, Old Mutual Life, the MMI Group, Liberty Group and Sanlam Life Insurance Ltd, to small companies such as Bophelo Life Insurance Ltd and Bidvest Life Ltd. Also profiled are Absa Life Limited which received regulatory approval to acquire a 75% stake in Instant Life, an online life insurance distribution platform, and Hollard Life Assurance Company Ltd which was prohibited by the Competition Commission from acquiring Regent Life Assurance Company Limited from Imperial Holdings.
The South African Life Insurance and Reinsurance Industry
The South African life insurance industry contributed R429.3bn to the local economy through benefit payments to policyholders and beneficiaries during the course of 2016 and currently holds assets of around R2.63-trillion. The Association for Savings and Investment South Africa (ASISA) reported that in the 12-month period ended 31 December 2016, premiums, investment and other income totalled more than R577bn, while benefit payments to policyholders and beneficiaries totalled R429.3bn.
A Challenging Environment
Although it remains a well capitalised industry, the country’s challenging socio-economic environment continues to constrain the growth of the life insurance sector. ASISA reported that during the 12-month period ended 31 December 2016, individual policy surrenders rose by 16% year-on-year, new business growth contracted and life insurers posted total income growth of a mere 1%, indicating that local consumers are under growing pressure. Life insurers are also facing regulatory disruption and are confronted with new risks emanating from the recent sovereign credit ratings downgrade of the South African economy to “junk” status. The proposed nationalisation of life insurance companies, as mooted by the recently appointed advisor to South Africa’s new Finance Minister Malusi Gigaba, is widely expected to further dampen investor confidence in the country.
Historical Reports
The Life Insurance Industry Including Reinsurance 2021-01-18
R 9 500.00(ZAR) estimated $586.15 (USD)*
View Report Add to CartThe Life insurance Industry Including Reinsurance 2019-01-31
R 1 900.00(ZAR) estimated $117.23 (USD)*
View Report Add to CartThe Life insurance Industry Including Reinsurance 2015-12-02
R 1 900.00(ZAR) estimated $117.23 (USD)*
View Report Add to CartTable of Contents
| PAGE | ||
|---|---|---|
| 1. | INTRODUCTION | 1 |
| 2. | DESCRIPTION OF THE INDUSTRY | 1 |
| 2.1. | Industry Value Chain | 3 |
| 2.2. | Geographic Position | 4 |
| 3. | SIZE OF THE INDUSTRY | 4 |
| 4. | STATE OF THE INDUSTRY | 9 |
| 4.1. | Local | 9 |
| 4.1.1. | Corporate Actions | 15 |
| 4.1.2. | Regulations | 16 |
| 4.1.3. | Enterprise Development (ED) and Social Economic Development (SED) | 21 |
| 4.2. | Continental | 23 |
| 4.3. | International | 26 |
| 5. | INFLUENCING FACTORS | 27 |
| 5.1. | Economic Environment | 27 |
| 5.2. | Socio-Economic Environment | 29 |
| 5.3. | Rising Operational Costs | 30 |
| 5.4. | Technology, Research & Development (R&D) and Innovation | 30 |
| 5.5. | Labour Resources | 33 |
| 5.6. | Cyclicality | 35 |
| 5.7. | Environmental Concerns | 36 |
| 5.8. | Over-regulation | 36 |
| 5.9. | Fraud | 37 |
| 6. | COMPETITION | 38 |
| 6.1. | Barriers to Entry | 39 |
| 7. | SWOT ANALYSIS | 40 |
| 8. | OUTLOOK | 41 |
| 9. | INDUSTRY ASSOCIATIONS | 41 |
| 10. | REFERENCES | 43 |
| 10.1. | Publications | 43 |
| 10.2. | Websites | 44 |
| COMPANY PROFILES | 46 | |
| 1 LIFE INSURANCE (RF) LTD | 46 | |
| ABSA LIFE LTD | 49 | |
| AFRICAN UNITY LIFE LTD | 51 | |
| AIG LIFE SOUTH AFRICA LTD | 53 | |
| ALEXANDER FORBES LTD | 55 | |
| ALLAN GRAY LIFE LTD | 59 | |
| ASSUPOL LIFE LTD | 61 | |
| AVBOB MUTUAL ASSURANCE SOCIETY | 63 | |
| BIDVEST LIFE LTD | 66 | |
| BOPHELO LIFE INSURANCE LTD | 68 | |
| BRIGHTROCK LIFE LTD | 70 | |
| CLIENTELE LIFE ASSURANCE COMPANY LTD | 72 | |
| COMMUNITY LIFE INSURANCE COMPANY LTD | 74 | |
| CORONATION LIFE ASSURANCE COMPANY LTD | 75 | |
| DISCOVERY LIFE LTD | 77 | |
| FEDGROUP LIFE LTD | 79 | |
| GENERAL REINSURANCE AFRICA LTD | 81 | |
| GIC RE SOUTH AFRICA LTD | 84 | |
| GUARDRISK LIFE LTD | 86 | |
| HANNOVER REINSURANCE GROUP AFRICA (PTY) LTD | 88 | |
| HOLLARD LIFE ASSURANCE COMPANY LTD | 90 | |
| INVESTMENT SOLUTIONS LTD | 93 | |
| LAND BANK LIFE INSURANCE COMPANY SOC LTD | 96 | |
| LIBERTY HOLDINGS LTD | 98 | |
| LION OF AFRICA LIFE ASSURANCE COMPANY LTD | 102 | |
| MMI GROUP LTD | 105 | |
| MUNICH REINSURANCE COMPANY OF AFRICA LTD | 108 | |
| NEDGROUP STRUCTURED LIFE LTD | 110 | |
| OLD MUTUAL LIFE ASSURANCE COMPANY (SOUTH AFRICA) LTD | 112 | |
| OUTSURANCE LIFE INSURANCE COMPANY LTD | 116 | |
| PROFESSIONAL PROVIDENT SOCIETY INSURANCE COMPANY LTD | 118 | |
| PRUDENTIAL PORTFOLIO MANAGERS (SOUTH AFRICA) LIFE LTD | 121 | |
| PSG KONSULT LTD | 123 | |
| RAND MUTUAL ASSURANCE COMPANY LTD (THE) | 127 | |
| REGENT LIFE ASSURANCE COMPANY LTD | 131 | |
| RGA REINSURANCE COMPANY OF SOUTH AFRICA LTD | 134 | |
| SANLAM LIFE INSURANCE LTD | 137 | |
| SCOR AFRICA LTD | 143 | |
| STANDARD GENERAL INSURANCE COMPANY LTD (THE) | 145 | |
| STRATEGIC INVESTMENT SERVICE LIFE COMPANY LTD | 147 | |
| SWISS RE LIFE AND HEALTH AFRICA LTD | 148 | |
| SYGNIA LIFE LTD | 150 | |
| UNION LIFE LTD | 152 |
