https://www.engineeringnews.co.za

Receive our free daily newsletter:

Insurance

Insurance is a financial services industry that provides risk management through contractual agreements in which individuals or organisations pay premiums in exchange for protection against specified losses, damages or liabilities. The sector encompasses a wide range of products, including life insurance, health insurance, property and casualty insurance, motor vehicle insurance, professional indemnity and reinsurance. Insurance companies pool risk across large numbers of policyholders, using actuarial science and statistical analysis to price premiums and maintain reserves sufficient to pay claims. The industry plays a critical role in economic stability by enabling businesses and households to transfer risk, facilitating investment and supporting recovery after adverse events. In Africa, the insurance market is growing rapidly, driven by rising middle-class populations, increased regulatory oversight, urbanisation and mobile-technology penetration that enables microinsurance and digital distribution channels. South Africa, Kenya, Nigeria and Egypt are among the continent's largest insurance markets, with both established multinational insurers and innovative local players competing for market share. Insurers increasingly deploy artificial intelligence and data analytics to improve underwriting accuracy, detect fraud, personalise products and streamline claims processing. The sector faces challenges including low insurance penetration in many African markets, regulatory fragmentation, climate-related risks and the need to build consumer trust and financial literacy. Reinsurance, provided by specialist firms that insure insurers, underpins the industry's capacity to absorb large or catastrophic losses.

Latest Articles in 60 Seconds

AI-driven dispute resolution demands stronger governance

Online dispute resolution (ODR) powered by artificial intelligence is increasingly used across financial services and insurance to categorise, prioritise and resolve claims without human adjuster involvement, according to Webber Wentzel. While ODR offers faster, cheaper and more consistent outcomes, the firm warns that biased training data, opaque decision-making and inadequate vendor data security create legal and regulatory exposure, urging clear human-review thresholds and ongoing auditing.

Underground mining equipment poses specialised insurance challenges

Consort Technical Underwriting Managers highlights that plant and equipment operating in underground mines carry significantly higher loss risk and severity than surface equipment, with recovery costs after flooding or collapse sometimes running into millions of rand. It stresses that Plant All Risks policies must specifically extend cover to underground operations, including cost-of-recovery provisions, since some insurers exclude abandonment of unrecoverable equipment.

Fuel stockpiling introduces unmanaged insurance risks

Businesses and households storing larger quantities of petrol and diesel on-site amid Middle East uncertainty are altering their risk exposure without disclosing the change to insurers, warns Aon South Africa, raising fire, vapour and environmental compliance concerns.

Insurance Updates


Insuring construction plant and equipment in underground mines
Insuring construction plant and equipment in underground mines
7th July 2026

Mining in South Africa is primarily conducted through alluvial, opencast, and underground mining methods, with underground mining generally being the most capital-intensive. How often do we hear or... 


Beyond the Numbers: Why South Africa's Insurance Sector Must Bet on Youth
Beyond the Numbers: Why South Africa's Insurance Sector Must Bet on Youth
15th June 2026

By: Helgaard Müller, CEO of Credeq Africa As South Africa marks Youth Month this June, the country's most urgent economic challenge is becoming an increasingly important business issue. Youth... 


Santam head of strategy and investor relations Thabiso Rulashe, SAWS acting senior manager: technical services Nomvuso Busizi and SAWS head of disaster risk reduction Rudzani Malala at the launch
Santam, weather service partner on early warning, forecasting capabilities
7th May 2026 By: Sabrina Jardim

Insurance provider Santam has partnered with the South African Weather Service (SAWS) to sponsor the installation of nine automatic weather stations (AWS) across the country, with the aim of... 


The cover of the AFC's State of Africa's Infrastructure Report
African domestic capital pools now exceed external capital inflows
23rd April 2026 By: Rebecca Campbell

The ten years from 2014 to 2024 saw a hugely important turning point for Africa, infrastructure and industrial development finance institution Africa Finance Corporation (AFC) has highlighted, in... 


The hidden risk South Africans are overlooking
The hidden risk South Africans are overlooking
22nd April 2026

As uncertainty in the Middle East continues, South Africa is facing soaring fuel costs and potential supply disruptions. In response, businesses, farms and even households are increasingly storing... 


New FSP glu declares profit-sharing allocations in its first year
New FSP glu declares profit-sharing allocations in its first year
21st April 2026

glu (South African financial services provider), a division of the Professional Provident Society (PPS Insurance), has declared R1.78 million in ProfitBack™ allocations for the year ended 2025,... 


An image of Pravin Kalpage
AI, ‘human touch’ blend improves insurance process
17th April 2026

As the insurance sector matures across Africa, the focus is shifting from simple digitalisation to the sophisticated application of AI and hyper-personalisation, with efforts to increase the... 


When the Insured and Insurer Become Partners in Business
When the Insured and Insurer Become Partners in Business
7th April 2026

By Kobus van Niekerk and Christine Dreyer In the aftermath of a major material damage incident that triggers not only property insurance but also consequential loss (revenue) cover, the... 


Leading South African law firm, Cox Yeats recognised for its specialist insurance, shipping expertise
Leading South African law firm, Cox Yeats recognised for its specialist insurance, shipping expertise
16th February 2026

South African law firm, Cox Yeats has been recognised for its specialist insurance and shipping capability in the Chambers and Partners 2026 rankings. The ranking strengthens the firm’s vision to... 


Theron to step down as PSG chairperson
12th February 2026 By: Tasneem Bulbulia

Willem Theron will retire as nonexecutive chairperson of financial services group PSG Financial Services, at the company’s AGM in July. Subject to regulatory approval, Lizé Lambrechts, who is... 


A2X CEO Kevin Brady
OUTsurance approved for secondary listing on A2X
7th January 2026 By: Darren Parker

JSE-listed insurance company OUTsurance has been approved for a secondary listing on A2X Markets. OUTsurance shares will be available for trade on A2X from January 14. "For the past 28 years,... 


Economic Slowdown Remains Top Business Risk for South Africa, Aon's Global Study Finds
Economic Slowdown Remains Top Business Risk for South Africa, Aon's Global Study Finds
18th November 2025

Aon released the 2025 edition of its Global Risk Management Survey, which has tracked the most-pressing risks for business decision-makers for nearly two decades. Economic slowdown remains a main... 


Rate Cutting  -  The Paradigm
Rate Cutting - The Paradigm
4th November 2025

We are nearing the end of another year in the insurance industry - a time to reflect on both achievements and the inevitable setbacks. While some outcomes may not have gone as planned, every... 


Why it can cost up to 30% more to insure an EV than an ICE vehicle
Why it can cost up to 30% more to insure an EV than an ICE vehicle
4th November 2025 By: Irma Venter

Electric vehicles (EVs) do not only differ from internal combustion engine (ICE) vehicles in the way they are powered and serviced, but also in the way they are viewed by insurance companies. PPS... 


1

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







301

pqt: 0.07s - ct: 0.141s - 242pq - 2rq
Subscribe Now