Prix des Assurances en Afrique 2017

Here are some of the key Value proposition to note:

Under the Leadership of the recently retired Commissioner of Insurance at IPEC, this regulator has produced some of the best sets of insurance market reports in the world based on a robust set of performance indicators that allows for an appropriate assessment of financial soundness of the 4 sectors of the insurance market of Life, Non-Life, Funeral and Pensions.

Indicators are based on a very sound methodological framework known as CARAMELS

The comprehensive reports which are appropriately customized for the different types of risks in the different sectors of insurance offer a practical framework which could be used as a guideline of best practice for benchmarking appropriate quality of insurance market reports.

The reporting is done on a quarterly basis which allows for appropriate monitoring of financial soundness on a regular basis and allows for early intervention instead of waiting for the year-end report, as per the practice of all other regulators in Africa. This is completely the opposite of some of the challenges that we face in markets like Angola where the latest available reports relates to 2013.

The regulator applies immediate actions/ sanctions if any of the operators fails to meet any of the key indicators in the quarter under review. She does not wait for the company to become insolvent (like the case of BAI in Mauritius). She applies immediate measures such as prevent writing of new business or demanding of additional capitalization. If you fail to submit, she will suspend/ cancel the license

There is complete transparency in how the financial soundness is measured and assessed. There is no reference to unexplained complex things that very few people understand such as “risk-based solvency model”.