Zambian insurance shines

THE Pensions and Insurance Authority (PIA) says the insurance sector in 2014 performed exceptionally well, with gross written premium (GWP) for half year registered at K1.52 billion, exceeding the entire 2013 record of K1.02 billion.
PIA says the 2014 income from the insurance sector is expected to surpass the 2013 outcome due to the favourable business environment which has culminated from vast opportunities.
In response to a press query on Wednesday, PIA communications manager Doreen Kambanganji said growth is expected in the insurance industry is expected to continue.
“The performance of both general and long-term insurance was rated as positive. It is expected that the 2014 turnover will exceed the 2013 results. The GWP for the period of six months ending June 30, 2014 was K1, 021 million compared to K1, 527 million recorded for the whole year in 2013,” Ms Kambanganji said.
Under the general insurance, the industry registered K704 million while long term insurance stood at K317 million.
Ms Kambanganji said another area which also recorded an increase was microinsurance which is targets to the low-income individuals.
She said, “Microinsurance is cheaper and that insurance companies are using various distribution methods such as cellphones to enable the people access the product easily.”
Ms Kambanganji said PIA has continued to encourage insurance companies to be more innovative when coming up with products to capture people’s interests.
She said the insurance industry has continued to grow with new foreign companies investing in the country.
“We have seen a lot of innovation with the new incoming companies. Some of them are coming from outside the country and with the experiences that they have gained in other markets, this has contributed to the growth of the insurance industry,” she said.

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