Africa-Press – Eswatini. Eswatini Royal Insurance Corporation’s (ESRIC) performance in 2022 was satisfactory with premium income recording E558.5 million compared to E525.6 million in 2021.
According to the Corporation’s recently published 2022 Integrated Report the insurance provider’s Non-Life business surpassed the corporation’s budgeted figure of E540 million.
During the period under review, the Corporation continued with its core business deriving revenue from the provision of non-life insurance, life assurance, and pension administration services to individuals, businesses, and corporates.
The General Manager Zama Ngcobo attributed the increase to an upswing in political violence and terrorism cover uptake, following the events of June 2021 and the months that followed.
“We have been able to report reasonable premium growth and acceptable net insurance results across both lines of the business,” said Ngcobo.
He noted however that the non-life underwriting result showed a slight decline compared to 2021, with incurred claims increasing marginally by 2.9 per cent.
Ngcobo added saying in a bid to address this, the leading insurer implemented a range of premium adjustments and underwriting changes to achieve rating adequacy while still managing client retention.
“The life section of our business saw a decline, with premiums and contributions dropping from E154 million in 2021 to E144 million. Mainly, credit life and group funeral businesses were the major detractors to this performance,” revealed Ngcobo.
The GM further stated that despite these challenges, the insurance company posted a surplus of E53.7 million.
Ngcobo cited that it was primarily driven by the unfavourable performance of the investment markets.
“Overall, we remain committed to striking a balance between growing our business and managing risks effectively, so our stakeholders can remain confident in our performance and financial health,” he said.
Ngcobo further publicised that Corporation would concentrate on strengthening their systems, in order to enhance their service quality and network distribution, and on new value-priced products to meet changing client needs.
“In this way we aim to boost income by five per cent and profit by 15 per cent in the 2022–2024 period,” he said.
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