Angola: insurance premiums with mediation intervention register a 100% increase

By Pedro Mbinza

The insurance premiums with mediation intervention in Angola reached more than Kw3 billion (US$5.9 million) in the fourth quarter of 2022, observing an increase of 100% compared to the same period of the previous year.

The data were advanced by the Angolan Agency of Regulation and Supervision of Insurance (ARSEG) administrator, Filomena Manjata, during the 1st Meeting of Insurance Mediators, which took place under the theme “Promotion and Innovation of the Insurance Mediation Market”.

According to Filomena Manjata, the direct insurance commissions stand at Kw267 million (US$523,529), representing at least 100% growth.

Mediated reinsurance premiums stood at Kw1.8 billion, with a reduction of 81%.

Meanwhile, the intermediated reinsurance commissions settled at Kw44 million, which represents a decrease of 91%.

“Health, accident, and travel insurance continue to be the branches with the highest predominance in the portfolio of business sent to insurers and by the intermediaries, followed by the motor branch, out of a total of 1134 policies mediated,” said Filomena Manjata, cited in a statement published on the Angolan Finance Ministry’s website.

Manjata also added that the penetration rate of the insurance sector in the national economy is below 1% of GDP when compared with the average of the countries of the Southern African Development Community (SADEC).

She added that this is due to little insurance culture, the country’s current economic and financial situation, and internationally aggravated by the Covid-19 pandemic and the war in Ukraine.

“Soon, we will have a new legal regime of mediation, which will ensure greater transparency and efficiency in the performance of all companies and individuals operating in the insurance mediation market, promoting healthy competition among all operators, and that will bring with it the challenge of being able to meet the increasingly high expectations of consumers,” she said.

Currently, 18 agents are registered, 40 insurance brokers, 12 insurance and reinsurance brokers, and 499 intermediaries, individuals, and insurers are only authorized to work with the list of intermediaries available on the ARSEG site.

With information from Lusa

News Angola, English news Angola, Angolan Agency of Regulation and Supervision of Insurance (ARSEG)