AFRICA First ReNaissance Corporation's reinsurance wing, FMRE Property & Casualty, is set to open its Botswana subsidiary next month.
The subsidiary was granted an operating licence in December last year and Afre has already injected US$500, 000 into the business from internal sources. In its results statement, Afre said all requirements had been satisfied and the company was in the process of establishing market contacts.
"All regulatory approval requirements have been met and we are now fulfilling the operational requirements before the company opens its doors," Afre said.
The opening of FRME Property & Casualty Botswana is in line with Afre's regional thrust that has continued to provide the group with an international market for its products and services.
The development comes as FMRE Property & Casualty was able to achieve a written gross premium of US$8,9 million from new business lines during the year to December 31, 2009.
The written gross premium refers to the total premium written and assumed by an insurer before deductions for reinsurance and ceding commissions.
The business was supported by reinsurance companies, which boosted its capacity to underwrite more business.
Additional capital was injected into the business to further strengthen its capacity to write and retain more business.