Nigerian regulator says tougher capital requirements could end premium flight

Nigerian regulator says tougher capital requirements could end premium flight

Nigerian regulator says tougher capital requirements could end premium flight

The Nigerian regulator Naicom has been justifying its position on higher capital requirements, by highlighting the amount of premium leaving the country. Naicom’s director of policy and regulation, Pius Agboola, said the ongoing recapitalisation (which will require some insurers to triple their capital) is ultimately to position the sector to be able to handle large transactions in Nigeria as well…

South African short-term insurance sector grew 8% in 2018

South African short-term insurance sector grew 8% in 2018

South African short-term insurance sector grew 8% in 2018

The South African insurance industry reported gross written premiums (GWP) of ZAR108.6bn in 2018, an increase of 8% when compared to the ZAR100.4bn written in 2017. However, it is no longer rated a low catastrophe risk after huge losses in 2017. Uncharted: The South African Insurance Industry Survey 2019 from KPMG shows that the strong growth suggested in GWP did…

Rise in African mergers and acquisitions

Rise in African mergers and acquisitions

Rise in African mergers and acquisitions

Mergers and acquisitions (M&A) across Africa have risen in terms of value but not volume, according to the latest figures. The total deal value of M&A transactions in Africa increased by $21bn in the first half of 2019, a 31% rise on the same period of 2018. However, according to analysis by Baker McKenzie of Refinitiv M&A data for Africa,…

Risk of bad debts escalates in South Africa

Risk of bad debts escalates in South Africa

Risk of bad debts escalates in South Africa

Risk managers from the banking sector and beyond have voiced concerns about a new South African law allowing overindebted consumers to have payments suspended or scrapped. Yesterday, President Cyril Ramaphosa signed the National Credit Amendment Bill into law. Referred to as the ‘debt relief law’, it will afford low-income workers and overindebted consumers the opportunity to have payments suspended or even scrapped,…

CIMA insurers pledge to reduce insolvency risks

CIMA insurers pledge to reduce insolvency risks

CIMA insurers pledge to reduce insolvency risks

Insurers across the 14 countries of the CIMA (Francophone Africa) region are promising to use credit insurance products to help SMEs cope with insolvency risks. The International Insurance Institute has urged African companies to use credit insurance-surety products to help their customers deal with insolvent customers. CIMA has been searching for an insurance-led solution to the problem that small businesses…

Swiss Re opens office in Ivory Coast

Swiss Re opens office in Ivory Coast

Swiss Re opens office in Ivory Coast

Reinsurer Swiss Re is to open an office in Abidjan, Ivory Coast, after being granted approval by the Inter-African Conference of Insurance Markets (CIMA) regulator. Having CIMA approval allows the company to operate in any one of the 13 CIMA-regulated countries in west Africa. Swiss Re said the new office would allow it to expand its services in the region.…

Nigerian Stock Exchange lifts suspension from Universal

Nigerian Stock Exchange lifts suspension from Universal

Nigerian Stock Exchange lifts suspension from Universal

The Nigerian Stock Exchange has lifted its suspension on Universal Insurance, after the insurer filed the necessary paperwork. Universal had been one of 11 companies that were suspended on 2 July. The stock exchange issued a statement, saying: “In view of the company’s submission of its audited financial statements, the exchange is satisfied that the accounts comply with all applicable…

Sanlam names new CEO for emerging market business

Sanlam names new CEO for emerging market business

Sanlam names new CEO for emerging market business

Sanlam has announced that the group’s financial director, Heinie Werth, has taken over as chief executive officer of Sanlam Emerging Markets, the business cluster that is responsible for Sanlam’s businesses across 33 countries in Africa – Sanlam Pan-Africa (SPA) – as well as the company’s other emerging markets business in India, Lebanon and Malaysia. Junior Ngulube, formerly CEO, has become…

Insurers welcome move to simplify policy language in Namibia

Insurers welcome move to simplify policy language in Namibia

Insurers welcome move to simplify policy language in Namibia

Insurers have welcomed the news that the Namibian finance minister has tabled a Financial Institutions and Markets (FIM) bill, which will require insurance policies, certificates of coverage and any other relevant documents to be written in plain and simple language. It aims to ensure that consumers understand what they sign up for when they are buying insurance. The goal is…