In South Africa insurance companies are plentiful.The insurance industry is well regulated through the Financial Services Board and the South African insurance market can be described as competitive.
Numerous local and international insurance providers offer a wide range of insurance products for locals and foreigners residing in the country. In South Africa insurances can be taken out in various forms:
An insurance, in general, will transfer the risk or chance of loss from the insured to the insurer. The insurance company accepts the risk or chance of loss and enters into an agreement (written contract) with the client to pay out a certain amount of money in the case of an unexpected event is happening.
Expats living in South Africa will have special needs and requirements to all the above named insurance types, therefore we have set up a special page:
There are two kinds of insurance, long-term and short-term insurances, which need to be considered regarding the protection of your own person and/or family and the protection of personal goods and items or business interests.
Short-Term Insurance covers eventualities in regards to a person’s belongings and thus covers personal property when taking out car insurance, household insurance, home insurance or business insurance.
Long-Term insurance is an insurance that is directly linked to an insured person’s life or wellbeing. This type of insurance is usually paid over a long period of time and includes life insurance, disability insurance and income protection insurance. This insurance will pay out an agreed amount after a defined event has taken place, such as in the event of an accident that results in disability, unemployment or death of the insured person.
Among the biggest short-term insurance companies in South Africa are:
Among the biggest long-term insurance companies in South African are:
The largest South African reinsurance companies are Hannover Re and Munich Re. Together they underwrite 69% of the local reinsurance market in South Africa.
The regulatory framework of the financial services sector in South Africa is sound, assessments and benchmarking according to international norms are currently introduced in the insurance sector. The integrity and financial stability of the financial market was acknowledged in the annual Global Competitiveness Survey 2014/2015, when South Africa again received top marks for the high regulation of security exchanges and its strength of auditing and reporting standards (both ranking 1 out of 144 countries surveyed).
Image Credit: shutterstock.com
Ernest&Young Insurance Outlook 2015: www.ey.com
Price Waterhouse Cooper Insurance Survey 2015: www.pwc.co.za
Global Competitiveness Survey 2014/2015: www3.weforum.org
SA Insurance Crime Bureau: www.saibc.co.za
SA Insurance Association: www.saia.co.za