Zimbabwean reinsurance has potential to grow- Tropical RE

Tropical ReInsurance was recently conferred with a BBB+ rating by  GCR, a major milestone in the history of the Reinsurer.

 Insurance24 (24 ) I spoke to  Tropical RE Managing Director USHE Mungaraza (UM) to understand what this meant to Tropical  Re.

Find the interview below:

I24: You have received a BBB+ GCR rating. Tell us more about this

UM: Being conferred

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Fidelity Life shelves plans to raise capital

Zimbabwe Stock Exchange-listed insurance concern Fidelity Life Assurance Zimbabwe has cancelled plans to raise fresh capital.The development comes on the heels of last week’s announcement by Zimre Holdings Limited (ZHL) that it had entered into an agreement with the National Social Security Authority (NSSA) for the purchase of its 35,09 percent stake in Fidelity Life.

ZHL

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Etihad Airways announces COVID-19 insurance

Etihad Airways, the Abu Dhabi-based airline which services the US among other regions, has announced that it will provide COVID-19 insurance to its passengers.

Airlines around the world are trying to stimulate demand amid the pandemic. As people continue to travel, Etihad has decided to provide coverage for medical and quarantine costs for passengers who contracted the virus after taking one of its

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Digital future gives insurance new life

The trend has been keenly felt by the insurance industry, where the once-marginal digital sales channel has seen a boom in premiums, with firms holding the best online positioning reaping the greatest rewards from the new revenue stream.

According to the Thai Life Assurance Association, new premium sales from digital channels totalled 52.1 million baht in March.

Digital sales alone contributed 0.3%

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Revealed: Common COVID-related financial services complaints

The Financial Ombudsman Service continues to receive an influx of COVID-related complaints from consumers and small to medium-sized enterprises (SMEs), bringing to light new and complex issues that the industry would not have anticipated before the pandemic.

www.insurancebusinessmag.com

As of writing, the Financial Ombudsman Service has received over 3,500 complaints related to COVID-19. Most complaints

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ZB Reinsurance regional expansion on course

ZB Financial Holdings says regional expansion for ZB Reinsurances has been delayed by COVID induced slowdowns but the imitative is now at an advanced stage.

Staff reporter

However  the local unit  saw up to  6,8 % foreign sourced premiums in the half year ended June 30 2020  from  3,3 % same period last year    as the reinsurance company maintained strong relations

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Ipec ensures value preservation for prescribed assets

In excess of ZW$ 4,7 billion has been invested in  Prescribed Assets by the insurance and pensions industry with  the regulator having made approval of  ZW$315 million worth of prescribed asset  this year alone. Staff reporter This in line with its thrust to ensure value preservation in these asset classes whilst ensuring the sector contributes to economic development. The approvals relates to a Z$250 million towards agricultural financing, Z$4,75 million  for the Guruve solar project and  Z$60 million towards the financing of  SMEs to increase their output this year. Prescribed assets are bonds or securities issued by the government, local authorities, quasi-government organizations or any other bond that may be accorded the prescribed asset status. Last year government directed that short term insurers have 5% of their portfolio in prescribed assets. However there has been an outcry over the performance of most available prescribed assets with  the industry pleading with the regulator to oversee the expansion of prescribed asset status to other performing classes as available paper did not consummate with high inflation levels prevailing in the economy. However Ipec commissioner Grace MIuradzikwa said   the commissioner has been   expanding   approvals into prescribed assets to ensure that they do not only speak to  governments developmental goals but  to value preservation criteria of  pension funds. “ The industry has invested  ZW4,7 billion in in  prescribed assets. We have been expanding approvals for the paper so that so that they do only spoke to governments’ developmental goals but also speaking  to the value preserving criteria for pension funds . Solar and renewable energy are of the areas we have been looking at and we intend  to  be focusing on such and other areas,” she said. However the Zimbabwe Association of Pension Funds in its recent AGM hinted  that  compliance to prescribed assets continued to  be a challenge due to lack   of  quality   paper on the market but urgent its members to  comply.  According to ZAPF some of the projects that had been accorded prescribed asset status include Datvest – Baines Intercare hospital,Invesci Asset Management – Datlabs pharmaceutical , Invest Solar –Solar farm , Mangwana Capital – Agriculture, Zimnat – Agriculture, Old Mutual, Zimnat, Motor Industry PF and IDBZ – Zimcampus  while ABC Asset Management project was still be considered by IPEC. “Compliance to Prescribed Assets continues to be a challenge due to lack of quality paper on the market. The Association has been active in assisting private players to set up prescribed assets in the market,” said ZAPF. Read more

Insurance and Pensions industry resilient-IPEC

The insurance and pensions industry has shown a great level of resilience despite the  deep-seated economic challenges  that has also been worsened by  the emergence  of Covid 19 ,Insurance and pensions commission has said.

Staff Reporter

The Pensions Sector recorded growth in asset base ,that is, an increase of 843% from June 2019 to June 2020,

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