Report Coverage
This report on the short-term insurance industry includes information on the size of the industry, number of insurers, claims, industry performance measures and notable players. It provides information on the increase in climate-related risks, natural disasters and other major risks, and new technology and innovation, including the rise of insurtech. There are profiles of 52 companies including well-known players such as Santam, Old Mutual, Hollard and OUTsurance, state-owned insurers such as South African Special Risk Insurance Association, Eskom’s Escap and Land Bank Insurance Company, and tech-driven companies such as Pineapple and Naked.
Introduction
• The short-term insurance industry has been affected by the pandemic, riots and natural disasters.\r\n
• Experts have predicted that there will be pandemics in future and the severity and frequency of natural disasters will increase. \r\n
• The market share of the top four non-life companies, Santam, Guardrisk, Hollard and Old Mutual, has declined slightly. Santam has maintained its dominant position.\r\n
• New entrants to the industry such as insurtechs are still relatively small and are underwritten by traditional players. \r\n
• The industry faces continued challenges of affordability and risks from natural disasters compounded by insufficiently maintained infrastructure.
Trends
• After a decline in net profit before tax and dividends between 2019 and 2021, there has been a recovery to 2023.
• Concentration levels have remained steady with the top 5 companies making up around 44% of total gross written premiums.
• Large traditional insurance companies have invested in insurtech companies that have entered the industry.
• Net written premiums have declined as reinsurance costs have increased due to the growing severity and frequency of natural disasters.
• South Africa continues to be the largest insurance market on the continent.
• The number of companies has declined slightly.
• Turnover in non-life insurance has grown at a CAGR of 10.3% between 2017 and 2022.
Opportunities
• COFI Bill may help to simplify regulatory and legal compliance.
• Leveraging advanced technology to make insurance accessible to the uninsured.
Challenges
• Degradation of infrastructure that increases severity of damage and losses from insured events.
• Increasing frequency and severity of natural catastrophes.
• Poor economic environment making insurance less affordable.
Outlook
• Challenges such as constrained household incomes and natural catastrophes, are unlikely to materially improve over the next few years, putting upward pressure on premium pricing. \r\n
• Despite the challenges, the industry has managed to grow gross premiums received and recover profitability. \r\n
• Increasing pressure on household budgets may increase the need for customised solutions.\r\n
• The sector is expected to continue to make use of technological advancements to diversify revenues, lower costs and remain competitive. \r\n
• The increased use of technology could expose companies to cyberattacks and ransomware.
Full Report
R 20 000.00(ZAR) estimated $1109.36 (USD)*
Industry Landscape
R 14 000.00(ZAR) estimated $ 776.55 (USD)*
Historical Reports
The Short-Term Insurance Industry in South Africa 2022-02-15
R 6 500.00(ZAR) estimated $360.54 (USD)*
View Report Add to CartThe Short-Term Insurance Industry in South Africa 2020-11-24
R 1 900.00(ZAR) estimated $105.39 (USD)*
View Report Add to CartThe Short-Term Insurance Industry in South Africa 2018-08-22
R 1 900.00(ZAR) estimated $105.39 (USD)*
View Report Add to CartThe Short-Term Insurance Industry in South Africa 2016-01-19
R 1 900.00(ZAR) estimated $105.39 (USD)*
View Report Add to CartThe Short-Term Insurance Industry in South Africa 2014-11-28
R 1 900.00(ZAR) estimated $105.39 (USD)*
View Report Add to CartTable of Contents
[ Close ]PAGE | ||
---|---|---|
1. | INTRODUCTION | 1 |
2. | DESCRIPTION OF THE INDUSTRY | 1 |
2.1. | Industry Value Chain | 4 |
2.2. | Geographic Position | 6 |
2.3. | Size of the Industry | 7 |
3. | LOCAL | 13 |
3.1. | State of the Industry | 13 |
3.2. | Key Trends | 20 |
3.3. | Key Issues | 20 |
3.4. | Notable Players | 22 |
3.5. | Corporate Actions | 24 |
3.6. | Regulations | 25 |
3.7. | Enterprise Development and Social Development | 25 |
4. | AFRICA | 27 |
5. | INTERNATIONAL | 30 |
6. | INFLUENCING FACTORS | 33 |
6.1. | Unforeseen Events | 33 |
6.2. | Economic Environment | 34 |
6.3. | Labour | 34 |
6.4. | Environmental Issues | 35 |
6.5. | Technology, R&D, Innovation | 35 |
6.6. | Government Support | 36 |
6.7. | Input Costs | 37 |
7. | COMPETITIVE ENVIRONMENT | 38 |
7.1. | Competition | 38 |
7.2. | Ownership Structure of the Industry | 40 |
7.3. | Barriers to Entry | 40 |
8. | INDUSTRY SUMMARY | 41 |
9. | OUTLOOK | 41 |
10. | INDUSTRY ASSOCIATIONS | 42 |
11. | REFERENCES | 42 |
11.1. | Publications | 42 |
11.2. | Websites | 43 |
ANNEXURE 1 | 44 | |
INDUSTRY LEGISLATION | 44 | |
APPENDIX 1 | 46 | |
SUMMARY OF NOTABLE PLAYERS | 46 | |
COMPANY PROFILES | 55 | |
ABSA INSURANCE COMPANY LTD | 55 | |
AFRICAN REINSURANCE CORPORATION (SOUTH AFRICA) LTD | 57 | |
AIG SOUTH AFRICA LTD | 60 | |
ALLIANZ GLOBAL CORPORATE AND SPECIALTY SOUTH AFRICA LTD | 62 | |
AUTO AND GENERAL INSURANCE COMPANY (RF) LTD | 64 | |
BIDVEST INSURANCE LTD | 66 | |
BRYTE INSURANCE COMPANY LTD | 68 | |
BUDGET INSURANCE COMPANY (RF) LTD | 71 | |
CENTRIQ INSURANCE COMPANY LTD | 73 | |
CHUBB INSURANCE SOUTH AFRICA LTD | 75 | |
CLIENTELE GENERAL INSURANCE LTD | 77 | |
COFACE SOUTH AFRICA INSURANCE COMPANY LTD | 79 | |
COMPASS INSURANCE COMPANY LTD | 81 | |
CORPORATE GUARANTEE (SOUTH AFRICA) (RF) LTD | 83 | |
CREDIT GUARANTEE INSURANCE CORPORATION OF AFRICA LTD | 85 | |
DIAL DIRECT INSURANCE (RF) LTD | 88 | |
DISCOVERY INSURE LTD | 90 | |
ESCAP SOC LTD | 92 | |
EXPORT CREDIT INSURANCE CORPORATION OF SOUTH AFRICA SOC LTD | 94 | |
FEDERATED EMPLOYERS MUTUAL ASSURANCE COMPANY (RF) (PTY) LTD (THE) | 97 | |
FIRST FOR WOMEN INSURANCE COMPANY (RF) LTD | 100 | |
FIRSTRAND BANK LTD | 102 | |
GENERAL REINSURANCE AFRICA LTD | 107 | |
GIC RE SOUTH AFRICA LTD | 110 | |
GUARDRISK INSURANCE COMPANY LTD | 112 | |
HANNOVER RE SOUTH AFRICA LTD | 115 | |
HOLLARD INSURANCE COMPANY LTD (THE) | 118 | |
INDEQUITY GROUP LTD | 122 | |
KING PRICE INSURANCE COMPANY LTD | 124 | |
LAND AND AGRICULTURAL DEVELOPMENT BANK OF SOUTH AFRICA | 126 | |
LIBERTY GROUP LTD | 130 | |
LOMBARD INSURANCE COMPANY LTD | 133 | |
MIWAY INSURANCE LTD | 136 | |
MOMENTUM METROPOLITAN HOLDINGS LTD | 139 | |
MUNICH REINSURANCE COMPANY OF AFRICA LTD | 144 | |
NAKED FINANCIAL TECHNOLOGY (PTY) LTD | 146 | |
NEDGROUP INSURANCE COMPANY LTD | 148 | |
OLD MUTUAL ALTERNATIVE RISK TRANSFER INSURE LIMITED | 150 | |
OLD MUTUAL INSURE LTD | 152 | |
OUTSURANCE INSURANCE COMPANY LTD | 155 | |
PINEAPPLE TECH (PTY) LTD | 158 | |
PROFESSIONAL PROVIDENT SOCIETY SHORT-TERM INSURANCE COMPANY LTD | 160 | |
PSG FINANCIAL SERVICES LTD | 162 | |
RENASA INSURANCE COMPANY LTD | 167 | |
ROAD ACCIDENT FUND | 170 | |
SAFIRE INSURANCE COMPANY LTD | 173 | |
SANTAM LTD | 175 | |
SASRIA SOC LTD | 180 | |
SCOR AFRICA LTD | 183 | |
STANDARD INSURANCE LTD | 185 | |
SWISS RE CORPORATE SOLUTIONS AFRICA LTD | 187 | |
TRUSTCO GROUP HOLDINGS LIMITED (INCORPORATED IN NAMIBIA) | 189 |