South Africa Insurance Q1 2021

South Africa Insurance Q1 2021

Key View:

The insurance industry in South Africa, particularly the life insurance segment, is the most well developed in the regionwith solid rates of penetration and density. The market is home to a number of large domestic providers that benefit from broadproduct ranges and extensive distribution channels. Among those households that can afford cover, there is a high level ofawareness of the potential benefits of various insurance lines, though we highlight that widespread poverty and income inequalitymeans that many potential consumers remain excluded from traditional insurance. In the short term, both the life and non-lifesegments are expected to return to growth following a highly challenging 2020, though as the Covid-19 pandemic continues into2021, risk remain weighed to the downside.