Africa-Press – Botswana. ZIMRE Holdings Limited (ZHL) has combined its two Botswana reinsurance businesses after changes to the law enabled it to underwrite domestic business.
The two units, Emeritus Reinsurance Botswana and Emeritus Reinsurance International, have been combined under the flagship of EmeritusRe International.
This comes as recent changes in law now allow International Financial Condition Standard (IFCS) businesses to underwrite domestic business.
ZHL is the majority shareholder in Emeritus International with a stake of over 50% and the ownership structure allows ZHL to exert significant influence over the operations and strategic direction of the company.Emeritus International Reinsurance Company was formed in Botswana in 2010 as an IFCS company and as the holding company for all the group’s reinsurance companies outside Zimbabwe.
Speaking at the amalgamation ceremony in Botswana recently, Emeritus International managing director Patience Marwiro said as an IFCS company, the law barred it from writing domestic business in Botswana.
Hence, she said there was need for the formation of First Reinsurance Company, later renamed Emeritus Reinsurance Company in 2018.
“Recent changes in the law have allowed the IFCS companies to write domestic business. There is, therefore, no need for the two separate entities in Botswana, hence the recent amalgamation which takes effect on January 1, 2024,” Marwiro said.
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