Insurance in South Africa

In the South African insurance landscape their are traditional insurers (in life e.g. Old Mutual, Sanlam, Liberty) as well as new niche entrants (Outsurance , Dial Direct) that are taking market share. While the baby boomer generation would use brokers or an intermediary, a new generation of clients prefer using internet and mobile platforms to purchase products and the growth in usage of direct channel has impacted the industry.

South Africa and its National Health Insurance system

In South Africa as at 2012 all its citizen and long term residents are to be provided with essential healthcare through National Health Insurance (NHI). Citizens do not have to participate in the NHI but are required to contribute its financing of its system and if you earn above a certain amount of income you will be required to contribute to its financing by law. Private medical schemes will be available to individuals who wish to keep them. The NHI excludes cosmetic surgery, aesthetic dental procedures, eye care fashion spectacle frames, medicines not on its drug list and non approved diagnotic procedures.

Comparison of South African Insurers

Santam SantamSouth African/an/a1918n/an/a650,000 policy holders and 22% market share
OUTsurance OUTsuranceSouth AfricaLifen/a1998n/aRand Merchant Insurance Holdings (RMI) Group6% market share in the non-life
Hollard HollardSouth AfricaLifen/a1980n/an/a6 million policyholders
Etana EtanaSouth African/auses brokers exclusively across country1938n/an/an/a
Old Mutual Old MutualSouth African/an/a1845n/an/an/a