Insurance industry records 94% growth

THE insurance industry recorded 94% growth in premium income at ZW$14,9 billion (US$ 32,5 million), as at March 31 2022, up from ZW$7,7 billion (US$16,8 million) recorded over the corresponding period in 2021.

e pensions industry saw a 175,6% spike in asset base during the first quarter while recording growth in the number of registered pension funds and beneficiaries.

Finance minister Mthuli Ncube in his midterm budget said the insurance industry assets and liabilities stood at ZW$176 billion (US$384,3 million) and ZW$79 billion (US$172,5 million), respectively, as at March 31 2022.

“e industry’s asset base grew by 175,6% during the first quarter of 2022 to reach ZW$488,1 billion (US$1,1 billion), compared to ZW$177,12 billion (US$386,7 million) recorded over the same period in 2021.

“e increase in the asset base was mainly driven by quoted equities and investment properties, which had a combined share of 84% of the industry’s total assets.

“Average asset share per member (including beneficiaries) was ZW$511 444,4 (US$1 116) as at March

425,5 (US$413,6)

2021,” Ncube said.

e persistent low level of compliance with the prescribed assets threshold by the insurance and pension industry remains a cause of concern, hence the need to invest in bankable projects that can be accorded prescribed asset status.

e Insurance and Pensions Commissions (Ipec) this week engaged the Zimbabwe Investment and Development Authority (Zida) to seek possible investment opportunities that the company may venture into.