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Life Insurance Industry South Africa

The Life Insurance Industry in South Africa 2022

Alex Conradie | South Africa | 18 October 2022

The Life Insurance Industry in South Africa 2021

Louise Mitchell | South Africa | 18 January 2021

The Life Insurance Industry in South Africa 2019

Louise Mitchell | South Africa | 31 January 2019

The Life Insurance Industry in South Africa 2017

Carole Veitch | South Africa | 22 May 2017

The Life Insurance Industry in South Africa 2015

Carole Veitch | South Africa | 02 December 2015

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Report Coverage

This report on the life insurance industry in South Africa includes information on the size and state of the sector, performance indicators, market shares, corporate actions notable players and developments. There are profiles of 28 companies including notable players such as Sanlam, Old Mutual, Liberty, Discovery, AVBOB, reinsurance companies including RGA and Munich Reinsurance and cell captive insurers such as Centriq.

The Life Insurance Industry in South Africa

The life insurance industry remained profitable and well capitalised despite record high claim payouts in 2021. The industry’s total income and profit increased in 2021 compared to 2019 and 2020. COVID-19 made people more aware of risks, causing higher demand for life insurance products. Africa is widely regarded as a key long-term growth market for insurance, providing opportunities for local life insurance companies. The industry’s growth is being affected by the weak economy and rising unemployment and inflation that are causing consumers’ disposable income to decrease.

Increases in Policies and Claims

South Africa’s life insurance penetration, measured in premiums as a percentage of GDP, was significantly higher than the global average. Due to COVID-19, many people realised the importance of sufficient life insurance and income protection cover, reflected in a significant increase in new policies. From April 2020 to end-March 2022, close to 2 million death claims were paid out, likely reflecting people having multiple policies. Life insurers reported in June 2022 that death-related insurance claims were back to pre-COVID-19 levels.

Trends

There is a shift to digital systems, especially in distribution and claims management, and traditional life insurers are partnering with insurtech companies to develop innovative and personalised products. In terms of distribution channels, agents and brokers remain the most important, but direct sales and bancassurance have grown. There has been an increase in savings policies being surrendered to access funds when policyholders face financial problems.

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The Life Insurance Industry in South Africa 2022

Full Report

R 9 500.00(ZAR) estimated $501.00 (USD)*

Industry Overview

R 6 650.00(ZAR) estimated $ 350.70 (USD)*

Historical Reports

The Life Insurance Industry in South Africa 2021-01-18

R 6 500.00(ZAR) estimated $342.79 (USD)*

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The Life Insurance Industry in South Africa 2019-01-31

R 1 900.00(ZAR) estimated $100.20 (USD)*

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The Life Insurance Industry in South Africa 2017-05-22

R 1 900.00(ZAR) estimated $100.20 (USD)*

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The Life Insurance Industry in South Africa 2015-12-02

R 1 900.00(ZAR) estimated $100.20 (USD)*

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Table of Contents

[ Close ]
PAGE
1. INTRODUCTION 1
2. DESCRIPTION OF THE INDUSTRY 1
2.1. Industry Value Chain 2
2.2. Geographic Position 3
2.3. Size of the Industry 4
2.4. Key Success Factors and Pain Points 6
3. LOCAL 6
3.1. State of the Industry 6
3.2. Key Trends 11
3.3. Notable Players 11
3.4. Corporate Actions 15
3.5. Regulations 16
3.6. Enterprise Development and Social Economic Development 18
4. AFRICA 19
5. INTERNATIONAL 23
6. INFLUENCING FACTORS 26
6.1. COVID-19 and other Health Conditions 26
6.2. Economic Environment 28
6.3. Technology, Research and Development (R&D) and Innovation 29
6.4. Crime and Road Accidents 31
6.5. Environmental Issues 33
6.6. Investment Performance 34
6.7. Financial Inclusion 35
6.8. Labour 36
7. COMPETITIVE ENVIRONMENT 37
7.1. Competition 37
7.2. Ownership Structure of the Industry 38
7.3. Barriers to Entry 38
8. SWOT ANALYSIS 39
9. OUTLOOK 39
10. INDUSTRY ASSOCIATIONS 40
11. REFERENCES 40
11.1. Publications 40
11.2. Websites 41
APPENDICES 42
Appendix 1 - Classes and Sub-Classes of Insurance Business for Life Insurance under Schedule 2 of the Insurance Act, 2017 42
Appendix 2 - List of Life Insurers, August 2022 46
Appendix 3 - Summary of Notable Players 49
COMPANY PROFILES 53
1 Life Insurance (RF) Ltd 53
3Sixty Life Ltd 56
Absa Life Ltd 58
AIG Life South Africa Ltd 60
Assupol Life Ltd 62
AVBOB Mutual Assurance Society 65
Bidvest Life Ltd 68
Centriq Life Insurance Company Ltd 70
Clientele Life Assurance Company Ltd 72
Constantia Life and Health Assurance Company Ltd 74
Discovery Life Ltd 76
General Reinsurance Africa Ltd 78
Guardrisk Life Ltd 81
Hannover Re South Africa Ltd 83
Hollard Life Assurance Company Ltd 85
King Price Life Insurance Ltd 88
Liberty Group Ltd 90
Momentum Metropolitan Life Ltd 93
Munich Reinsurance Company of Africa Ltd 96
Nedgroup Life Assurance Company Ltd 98
Nedgroup Structured Life Ltd 100
Old Mutual Life Assurance Company (South Africa) Ltd 102
OUTsurance Life Insurance Company Ltd 107
Professional Provident Society Insurance Company Ltd 109
RGA Reinsurance Company of South Africa Ltd 112
Sanlam Life Insurance Ltd 114
SCOR Africa Ltd 119
Swiss Re Africa Ltd 121

Report Coverage

This report focuses on the life insurance industry including reinsurance, and examines the state and size of the sector, key performance indicators, corporate actions and various influencing factors. There are profiles of 45 companies including large traditional insurers such as Sanlam and Old Mutual and relatively new players such as African Rainbow Capital, which was launched in 2019. There are also profiles of reinsurers such as Swiss Re and Munich Reinsurance.

The Life Insurance Industry including Reinsurance in South Africa

Life cover plays a central role in safeguarding financial security as it provides an income stream to dependants who would otherwise suffer financial loss in the event of the death, disability or serious illness of a breadwinner. In 2020, 65 primary life insurers, five life cell captives, five composite reinsurers (offering life and non-life reinsurance), two life reinsurers, and one life microinsurer were registered with the Financial Services Conduct Authority. The life insurance sector is dominated by large companies such as Sanlam, Discovery and Old Mutual.

Pandemic Effects

The coronavirus pandemic has put pressure on new business, lapse rates and potential future claims in the life insurance sector. It has caused extreme equity market and interest rate volatility, which affects the performance of the industry players. Gross written premiums are expected to decline as customers’ income is affected by unemployment. Liquidity constraints are highly likely in the event of product cancellation, an increase in surrenders, and decline in renewals and new business due to economic conditions.

Risks

Given the economic environment, long-term insurers are particularly exposed to market risk as well as lapse and surrender risk. As unemployment increases, many insurance policies lapse as policyholders cash in their savings or invest elsewhere. Other underwriting risks including mortality and morbidity catastrophes.

Read More..
The Life Insurance Industry in South Africa 2021

Full Report

R 6 500.00(ZAR) estimated $342.79 (USD)*

Industry Overview

R 4 550.00(ZAR) estimated $ 239.95 (USD)*

Historical Reports

The Life Insurance Industry in South Africa 2022-10-18

R 9 500.00(ZAR) estimated $501.00 (USD)*

View Report Add to Cart

The Life Insurance Industry in South Africa 2019-01-31

R 1 900.00(ZAR) estimated $100.20 (USD)*

View Report Add to Cart

The Life Insurance Industry in South Africa 2017-05-22

R 1 900.00(ZAR) estimated $100.20 (USD)*

View Report Add to Cart

The Life Insurance Industry in South Africa 2015-12-02

R 1 900.00(ZAR) estimated $100.20 (USD)*

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Table of Contents

[ Close ]
PAGE
1. INTRODUCTION 1
2. DESCRIPTION OF THE INDUSTRY 1
2.1. Industry Value Chain 4
2.2. Geographic Position 5
3. SIZE OF THE INDUSTRY 5
4. STATE OF THE INDUSTRY 8
4.1. Local 8
4.1.1. Corporate Actions 10
4.1.2. Regulations 11
4.1.3. Enterprise Development and Social Economic Development 15
4.2. Continental 17
4.3. International 18
5. INFLUENCING FACTORS 21
5.1. Coronavirus 21
5.2. Economic Environment 22
5.3. Investment Performance 23
5.4. Financial Inclusion 23
5.5. Environmental, Social and Governance (ESG) 24
5.6. Rising Input Costs 25
5.7. Crime 25
5.8. Cyber Risk 25
5.9. Technology, Research & Development (R&D) and Innovation 26
5.10. Labour 27
6. COMPETITION 29
6.1. Barriers to Entry 30
7. SWOT ANALYSIS 30
8. OUTLOOK 31
9. INDUSTRY ASSOCIATIONS 31
10. REFERENCES 32
10.1. Publications 32
10.2. Websites 32
APPENDIX 1 34
Classes and Sub-Classes of Insurance Business for Life Insurance under Schedule 2 of the Insurance Act, 2017 34
APPENDIX 2 - SUMMARY OF NOTABLE PLAYERS 38
Primary Insurers 38
Reinsurance Companies 41
COMPANY PROFILES 43
1 LIFE INSURANCE (RF) LTD 43
3SIXTY LIFE LTD 45
ABSA LIFE LTD 47
AFRICAN RAINBOW LIFE LTD 49
AFRICAN UNITY LIFE LTD 51
AIG LIFE SOUTH AFRICA LTD 53
ALEXANDER FORBES INVESTMENTS LTD 55
ALEXANDER FORBES LIFE LTD 57
ALLAN GRAY LIFE LTD 58
ASSUPOL LIFE LTD 60
AVBOB MUTUAL ASSURANCE SOCIETY 62
BIDVEST LIFE LTD 65
BRIGHTROCK LIFE LTD 67
CLIENTELE LIFE ASSURANCE COMPANY LTD 69
CORONATION LIFE ASSURANCE COMPANY LTD 71
DISCOVERY LIFE LTD 73
FEDGROUP LIFE LTD 75
GENERAL REINSURANCE AFRICA LTD 77
GIC RE SOUTH AFRICA LTD 80
GUARDRISK LIFE LTD 83
HANNOVER REINSURANCE GROUP AFRICA (PTY) LTD 85
HOLLARD LIFE ASSURANCE COMPANY LTD 87
HOLLARD SPECIALIST LIFE LTD 90
INVESTEC LIFE LTD 93
LAND BANK LIFE INSURANCE COMPANY SOC LTD 95
LIBERTY HOLDINGS LTD 97
LION OF AFRICA LIFE ASSURANCE COMPANY LTD 103
MOMENTUM METROPOLITAN LIFE LTD 105
MUNICH REINSURANCE COMPANY OF AFRICA LTD 108
NEDGROUP LIFE ASSURANCE COMPANY LTD 110
NEDGROUP STRUCTURED LIFE LTD 112
OLD MUTUAL LIFE ASSURANCE COMPANY (SOUTH AFRICA) LTD 114
OUTSURANCE LIFE INSURANCE COMPANY LTD 119
PROFESSIONAL PROVIDENT SOCIETY INSURANCE COMPANY LTD 121
PRUDENTIAL PORTFOLIO MANAGERS (SOUTH AFRICA) LIFE LTD 124
PSG KONSULT LTD 126
RAND MUTUAL ASSURANCE COMPANY LTD (THE) 130
RGA REINSURANCE COMPANY OF SOUTH AFRICA LTD 133
SANLAM LIFE INSURANCE LTD 136
SCOR AFRICA LTD 141
STANDARD GENERAL INSURANCE COMPANY LTD (THE) 143
STRATEGIC INVESTMENT SERVICE (PTY) LTD 145
SWISS RE AFRICA LTD 146
SYGNIA LIFE LTD 148
VODACOM LIFE ASSURANCE COMPANY (RF) LTD 150

Report Coverage

This report provides a comprehensive overview of the insurance and reinsurance sector in South Africa and on the continent with industry statistics largely covering 2017. There are detailed profiles of 43 companies including major insurers Old Mutual, MMI, Liberty and Sanlam, direct life insurers such as Clientèle Life, 1Life and OUTsurance and reinsurers such as Munich Re and Swiss Re.

The Life Insurance Industry Including Reinsurance

With total assets of R3.1-trillion at 30 September 2018, South Africa’s life insurance industry is the largest on the African continent. The industry contributed R469bn to the local economy through total benefit payments to policyholders and beneficiaries during 2017. Individual benefits, amounting to R207.5bn, showed minimal year-on-year growth, but the increase in critical illness and murders in South Africa are a potential driver of future increases in benefits paid. Death claims, which made up 78.5% of risk claims, decreased by 1.2% over the 12-months to 30 June 2018.

Industry Transformation

The industry is in a transformational phase as a new regulatory regime is being implemented. Technological change is another driver of the transformation with the rise of insurtech startups widely regarded as a major industry disruptor. Commentators believe the implementation of the Treating Customers Fairly framework and other new regulations will have a profound effect on the market. The entry of non-traditional players such as banks, telecoms companies, undertakers and funeral parlours and retailers has served to increase the competitiveness of the industry.

Read More..
The Life Insurance Industry in South Africa 2019

Full Report

R 1 900.00(ZAR) estimated $100.20 (USD)*

Industry Overview

R 1 330.00(ZAR) estimated $ 70.14 (USD)*

Historical Reports

The Life Insurance Industry in South Africa 2022-10-18

R 9 500.00(ZAR) estimated $501.00 (USD)*

View Report Add to Cart

The Life Insurance Industry in South Africa 2021-01-18

R 6 500.00(ZAR) estimated $342.79 (USD)*

View Report Add to Cart

The Life Insurance Industry in South Africa 2017-05-22

R 1 900.00(ZAR) estimated $100.20 (USD)*

View Report Add to Cart

The Life Insurance Industry in South Africa 2015-12-02

R 1 900.00(ZAR) estimated $100.20 (USD)*

View Report Add to Cart

Table of Contents

[ Close ]
PAGE
1. INTRODUCTION 1
2. DESCRIPTION OF THE INDUSTRY 1
2.1. Industry Supply Chain 4
2.2. Geographic Position 5
3. SIZE OF THE INDUSTRY 5
4. STATE OF THE INDUSTRY 7
4.1. Local 7
4.1.1. Corporate Actions 12
4.1.2. Regulations 13
4.1.3. Enterprise Development and Social Economic Development 20
4.2. Continental 22
4.3. International 25
5. INFLUENCING FACTORS 27
5.1. Economic Environment 27
5.2. Investment Performance 28
5.3. Financial Inclusion 29
5.4. Environmental, Social and Governance (ESG) 31
5.5. Operating Costs 31
5.6. Crime 32
5.7. Cybercrime 33
5.8. Information Technology (IT), Research & Development (R&D) and Innovation 33
5.9. Labour 36
5.10. Cyclicality 39
5.11. Climate Change and Extreme Weather 39
5.12. Fraudulent Claims 40
6. COMPETITION 42
6.1. Barriers to Entry 43
7. SWOT ANALYSIS 44
8. OUTLOOK 45
9. INDUSTRY ASSOCIATIONS 46
10. REFERENCES 46
10.1. Publications 46
10.2. Websites 47
APPENDIX 1 - SUMMARY OF NOTABLE PLAYERS 49
Primary Insurers 49
Reinsurance Companies 51
APPENDIX 2 52
Classes and Sub-Classes of Insurance Business for Life Insurance under Schedule 2 of the Insurance Act, 2017 52
COMPANY PROFILES 56
1 LIFE INSURANCE (RF) LTD 56
3SIXTY LIFE LTD 58
ABSA LIFE LTD 59
AFRICAN UNITY LIFE LTD 61
AIG LIFE SOUTH AFRICA LTD 63
ALEXANDER FORBES INVESTMENTS LTD 65
ALEXANDER FORBES LIFE LTD 68
ALLAN GRAY LIFE LTD 69
ASSUPOL LIFE LTD 71
AVBOB MUTUAL ASSURANCE SOCIETY 73
BIDVEST LIFE LTD 76
BOPHELO LIFE INSURANCE LTD 78
BRIGHTROCK LIFE LTD 80
CLIENTELE LIFE ASSURANCE COMPANY LTD 82
CORONATION LIFE ASSURANCE COMPANY LTD 84
DISCOVERY LIFE LTD 86
FEDGROUP LIFE LTD 88
GENERAL REINSURANCE AFRICA LTD 90
GIC RE SOUTH AFRICA LTD 93
GUARDRISK LIFE LTD 96
HANNOVER REINSURANCE GROUP AFRICA (PTY) LTD 98
HOLLARD LIFE ASSURANCE COMPANY LTD 100
HOLLARD SPECIALIST LIFE LTD 103
LAND BANK LIFE INSURANCE COMPANY SOC LTD 106
LIBERTY HOLDINGS LTD 108
LION OF AFRICA LIFE ASSURANCE COMPANY LTD 113
MMI GROUP LTD 115
MUNICH REINSURANCE COMPANY OF AFRICA LTD 118
NEDGROUP LIFE ASSURANCE COMPANY LTD 120
NEDGROUP STRUCTURED LIFE LTD 122
OLD MUTUAL LIFE ASSURANCE COMPANY (SOUTH AFRICA) LTD 124
OUTSURANCE LIFE INSURANCE COMPANY LTD 129
PROFESSIONAL PROVIDENT SOCIETY INSURANCE COMPANY LTD 131
PRUDENTIAL PORTFOLIO MANAGERS (SOUTH AFRICA) LIFE LTD 134
PSG KONSULT LTD 136
RAND MUTUAL ASSURANCE COMPANY LTD (THE) 140
RGA REINSURANCE COMPANY OF SOUTH AFRICA LTD 143
SANLAM LIFE INSURANCE LTD 146
SCOR AFRICA LTD 151
STANDARD GENERAL INSURANCE COMPANY LTD (THE) 153
STRATEGIC INVESTMENT SERVICE LIFE COMPANY LTD 155
SWISS RE AFRICA LTD 156
SYGNIA LIFE LTD 158

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.

Read More..
The Life Insurance Industry in South Africa 2017

Full Report

R 1 900.00(ZAR) estimated $100.20 (USD)*

Industry Overview

R 1 330.00(ZAR) estimated $ 70.14 (USD)*

Historical Reports

The Life Insurance Industry in South Africa 2022-10-18

R 9 500.00(ZAR) estimated $501.00 (USD)*

View Report Add to Cart

The Life Insurance Industry in South Africa 2021-01-18

R 6 500.00(ZAR) estimated $342.79 (USD)*

View Report Add to Cart

The Life Insurance Industry in South Africa 2019-01-31

R 1 900.00(ZAR) estimated $100.20 (USD)*

View Report Add to Cart

The Life Insurance Industry in South Africa 2015-12-02

R 1 900.00(ZAR) estimated $100.20 (USD)*

View Report Add to Cart

Table of Contents

[ Close ]
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

Report Coverage

The report on the highly competitive South African Life Insurance sector describes the current market, Government’s proposed regulations regarding credit life insurance and discusses factors influencing the success of the sector. The report profiles 44 companies, including the “Big Four”, Old Mutual Life, MMI Holdings, Sanlam and the Liberty Group. Also profiled are all seven reassurance companies active in the country and the leading direct life insurance company, Clientèle Life Assurance Company Ltd.

Life Insurance Sector

This report focuses on the latest developments in South Africa’s life insurance sector, which is the largest life insurance market on the African continent and in US dollar terms is the 15th-largest life insurance market in the world. With benefit payments of R366.8bn and assets of R2.3-trillion in the 12 months ended 30 June 2015, the 73 companies active in the long-term insurance industry are the custodians of a sizeable portion of South Africa’s long-term savings pool. Total net life reassurance premiums of over R8bn at the end of December 2014 were reported by the seven life reassurance companies in operation.

Current Conditions

If premiums are measured as a percentage of the nation’s GDP, the country has one of the highest levels of life insurance penetration in the world. However, recent statistics reveal that 40% of the country’s adult population do not have any form of formal life insurance. This is in sharp contrast to the funeral policy category which accounts for almost 90% of all risk cover sold and emphasises the need for the development of affordable life insurance products for low-income earners. Analysts caution that if South Africa’s life insurance industry is to remain sustainable in the long-term, the socio-economic context in which it operates needs to be overhauled. In the meantime, the potential for growth in sub-Saharan African markets has resulted in brisk merger and acquisition activity by South Africa’s major life insurance companies.

Read More..
The Life Insurance Industry in South Africa 2015

Full Report

R 1 900.00(ZAR) estimated $100.20 (USD)*

Industry Overview

R 1 330.00(ZAR) estimated $ 70.14 (USD)*

Historical Reports

The Life Insurance Industry in South Africa 2022-10-18

R 9 500.00(ZAR) estimated $501.00 (USD)*

View Report Add to Cart

The Life Insurance Industry in South Africa 2021-01-18

R 6 500.00(ZAR) estimated $342.79 (USD)*

View Report Add to Cart

The Life Insurance Industry in South Africa 2019-01-31

R 1 900.00(ZAR) estimated $100.20 (USD)*

View Report Add to Cart

The Life Insurance Industry in South Africa 2017-05-22

R 1 900.00(ZAR) estimated $100.20 (USD)*

View Report Add to Cart

Table of Contents

[ Close ]
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 8
4.1. Local 8
4.1.1. Corporate Actions 11
4.1.2. Regulations 14
4.1.3. Enterprise Development (ED) and Socio-Economic Development (SED) Initiatives 18
4.2. Continental 21
4.3. International 22
5. INFLUENCING FACTORS 24
5.1. Economic Environment 24
5.2. Socio-Economic Environment 25
5.3. Input Costs 26
5.4. Technology 26
5.5. Research and Development (R&D) 27
5.6. Innovation 27
5.7. Labour Resources 28
5.8. Cyclicality 30
5.9. Environmental Concerns 31
5.10. Over-Regulation 31
5.11. Fraud 31
6. COMPETITION 32
6.1. Barriers to Entry 33
7. SWOT ANALYSIS 34
8. OUTLOOK 35
9. INDUSTRY ASSOCIATIONS 35
10. REFERENCES 36
10.1. Publications 36
10.2. Websites 37
COMPANY PROFILES 39
1LIFE INSURANCE (RF) LTD 39
ABSA LIFE LTD 41
AFRICAN UNITY INSURANCE LTD 43
AIG LIFE SOUTH AFRICA LTD 45
ALEXANDER FORBES LTD 47
ALLAN GRAY LIFE LTD 51
ASSUPOL LIFE LTD 53
AVBOB MUTUAL ASSURANCE SOCIETY 55
BIDVEST LIFE LTD 57
BOPHELO LIFE INSURANCE ADMINISTRATORS (PTY) LTD 59
BRIGHTROCK LIFE LTD 60
CLIENTELE LIFE ASSURANCE COMPANY LTD 62
COMMUNITY LIFE INSURANCE COMPANY LTD 64
CORONATION LIFE ASSURANCE COMPANY LTD 65
DISCOVERY LIFE LTD 67
FEDGROUP LIFE LTD 70
GENERAL REINSURANCE AFRICA LTD 72
GIC RE SOUTH AFRICA LTD 74
GUARDRISK LIFE LTD 76
HANNOVER REINSURANCE GROUP AFRICA (PTY) LTD 78
HOLLARD LIFE ASSURANCE COMPANY LTD 80
INVESTEC ASSURANCE LTD 83
INVESTMENT SOLUTIONS LTD 84
LAND BANK LIFE INSURANCE COMPANY SOC LTD 87
LIBERTY HOLDINGS LTD 89
LION OF AFRICA LIFE ASSURANCE COMPANY LTD 93
MMI GROUP LTD 95
MUNICH REINSURANCE COMPANY OF AFRICA LTD 98
NEDGROUP STRUCTURED LIFE LTD 100
OLD MUTUAL LIFE ASSURANCE COMPANY (SOUTH AFRICA) LTD 102
OUTSURANCE LIFE INSURANCE COMPANY LTD 106
PROFESSIONAL PROVIDENT SOCIETY INSURANCE COMPANY LTD 108
PRUDENTIAL PORTFOLIO MANAGERS (SOUTH AFRICA) LIFE LTD 111
PSG ASSET MANAGEMENT HOLDINGS (PTY) LTD 113
RAND MUTUAL ASSURANCE COMPANY LTD (THE) 115
REGENT LIFE ASSURANCE COMPANY LTD 119
RGA REINSURANCE COMPANY OF SOUTH AFRICA LTD 122
SANLAM LIFE INSURANCE LTD 124
SCOR AFRICA LTD 129
STANDARD GENERAL INSURANCE COMPANY LTD (THE) 131
STRATEGIC INVESTMENT SERVICE LIFE COMPANY LTD 134
SWISS RE LIFE AND HEALTH AFRICA LTD 135
SYGNIA LIFE LTD 137
UNION LIFE LTD 139