Insurance sector falls on hard times

The dismal performance is part of research contained in the Non-Bank Financial Institutions Regulatory Authority’s (NBFIRA) 2017 annual report released recently. The watchdog, which also covers capital markets, asset managers and pension funds, equally recorded 54 cases of non-compliance in the insurance industry for the year up to March 2017, cancelling 29 licences as a result.

According to the report, the number of licensed operators in the insurance sector dropped from 274 in 2016 to 246 in 2017, due largely to licence withdrawals as well as voluntary and involuntary licence cancellations. Licensed insurance operators include insurers and reinsurers, medical aids, brokers and corporate agents.