According to a KPMG suvey, the deterioration of the South African economy during 2008 has had an adverse effect on the financial performance of the insurance industry.
The short-term insurers that participated in the survey, which is representative of the industry as a whole, collectively reported gross written premiums of R51.0 billion for 2008 which compares to the R46.7 billion reported in 2007. This represents a 9.2% increase.
"When the premium growth is compared with consumer price inflation of 11.5% and a gross domestic product of 3.1% during the same period, it is clear that the short-term insurance market has shrunk in real terms during 2008," says Gerdus Dixon, National Insurance Industry Leader at KPMG. "This is a worrisome statistic."
The full article is here
No comments:
Post a Comment