Tanzania Daily News (Dar es Salaam)
Abduel Elinaza
8 December 2011
LIFE assurance business is increasing by 40 per cent annually, which is twice the rate of non-life, thanks to awareness, massive education and sound competition among the stakeholders in the market.
The African Life Assurance Chief Executive Officer, Julius Magabe, said on Thursday that non-life insurance is growing at 20 per cent per annum only.
“Since 2005 the life market has grown tremendously to reach 40 per cent last year,” Mr Magabe said adding: “If it was not for global financial crisis, where in 2009 the insurance sector registered a negative growth, we could be talking another language.”
The CEO was speaking during a press conference to show the firm’s achievement resulted to win this year’s the “Best Represented Financial Statement Award for 2010.”
African Life, the biggest life insurance firm in the country in terms of profit, client, and premium income, was awarded the prize by National Board of Accountants and Auditors (NBAA) under insurance category.
The awards geared to recognize, encourage and promote best practices in the preparation of Financial Statements in the country. African Life Assurance, which is a member of Sanlam Group of South Africa, beats five other insurance firms to lead the pack followed by Tan-Re and Heritage Insurance.
The CEO said the award expected to elevate further its rating category from A+ to A++ next year. African Life Assurance has been holding the A+ rating for the past three years consecutively.
It was rated by Global Credit Rating (GCR). The firm’s Chief Finance Officer, Samwel Mika, said they attained the award after presenting the best and simple to understand financial statement that follows international best practice.
“We managed to beat some senior insurance firms which have been in the market for more than 14 years to prove we are the best in the market,” Mr Mika said.
About 39 companies entered in the last but one final stage and 31 made it to final round. The firm offers saving and life plan, an insurance policy that provides a mechanism to save for a future event and provide life cover for the policy holder, with minimum contribution of 15,000/- per month.
It also offers Amani Family Finance plan which is a whole-life policy for family. Sanlam Developing Markets provides affordable financial services solutions five African countries – Botswana, Kenya, Ghana, Tanzania and Zambia – as well as India.
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