Online services, a growth opportunity for brokerage in Africa…. South Africa no longer regarded as a “low-risk” country… Pilot African Risk Capacity Outbreaks & Epidemics Insurance Programme

Online services, a growth opportunity for brokerage in Africa

By Insurance24

HARARE, Electronic platforms today provide an opportunity for development for the sector of intermediation, according to a survey carried out by audit company, KPMG.

The profile and needs of the insured have changed. Insurance brokers and agents are, more than ever, required to follow those changes, rethink their products, distribution networks and their customer relationship.

Some success stories have been attributed to African brokers, initiatives that are likely to trigger improvement of insurance penetration in the long run.

The dissemination of online services has proved to be beneficial not only for brokerage companies but also for the entire insurance market in Africa.

Atlas Magazine


South Africa, no longer regarded as a “low-risk” country

By Insurance24

HARARE, According to Aon, South Africa is not considered as a “low-risk” country anymore as regards natural catastrophes. The broker, regularly publishing surveys on most exposed regions to nature’s fury, affirmed that in 2017, local insurers had to disburse more than 5 billion ZAR (404.7 million USD) in compensations for natural disasters.
The devastating events were torrential rain that washed the city of Durban in October 2017 and the fire that devastated the tourist city of Knysna in June of the same year.

2017 has been exceptionally disastrous everywhere else. According to the same source, 330 large-scale events occurred worldwide resulting in economic losses estimated at 353 billion USD.

Atlas Magazine


Ebola, Meningitis, Marburg and Lassa Fever to be piloted in African Risk Capacity Outbreaks & Epidemics Insurance Programme

By Insurance24

JOHANNESBURG, April 9, 2018 – The African Risk Capacity (ARC), an agency of the African Union, is developing an insurance product to facilitate rapid, first-line financial responses to disease outbreaks.

In the pilot phase, Ebola, Marburg, Meningitis, and Lassa Fever will be covered. Over 30 countries across Africa are at risk of an outbreak

of one or more of these four epidemic-prone diseases.

The Ministries of Health in Guinea and Uganda, the two countries implementing ARC’s Outbreak and Epidemic (O&E) Pilot Programme, selected these four pathogens due to the history-based potential for outbreaks and accompanying devastating impact on populations and economies.

O&E builds on ARC’s successes in implementing climate disaster risk financing programmes in Africa. It is designed as an integrated system to enable governments to respond early and effectively to public
health emergencies. The programme will work with countries to determine their epidemic risks and select pathogens to be covered, optimize early warning systems, create pre-established contingency plans for rapid response, and provide access to swift disbursement of financing through parametric insurance.

Mohamed Béavogui, Director General of ARC Agency and United Nations Assistant Secretary General said, “Identifying this first set of pathogens for our programme is a significant milestone. After working
closely with the governments of Uganda and Guinea, and with WHO AFRO, Africa CDC, and other stakeholders, this is a product that will make a difference for Africa, that targets the public health needs of
Africans, and that was built through African and international collaboration.”

The highest global incidence of bacterial meningitis occurs in the “meningitis belt” of Africa, spanning 26 countries from Senegal to Ethiopia. West, East, and Central African nations are at risk of outbreaks of the Marburg virus disease and Lassa Fever, both of which are viral haemorrhagic fevers.

The 2015 Ebola outbreak in West Africa resulted in 11,310 deaths in Guinea, Sierra, and Liberia with an estimated economic impact on the three countries of US $2.8 billion, according to the World Bank.
Studies estimate that initiating the Ebola response two months earlier could have reduced the fatalities by up to 80%.

On the need to rapidly respond to disasters on the continent, Mr. Béavogui said, “African governments identified the need for faster financing to avoid another tragedy like the recent Ebola outbreak in
West Africa, and ARC is working in close collaboration with governments and our partners to address that need. We are creating an innovative system that acts early to finance efficient, effective responses to help stem an outbreak before it reaches a crisis level.”


The ARC O&E Pilot Programme is supported by The Rockefeller Foundation and Swiss Development Cooperation. Metabiota Inc, Health Systems Consult Limited and public health economists affiliated with Columbia University are collaborating with ARC on the development of its pilot product.

When launched as a full product in the fall of 2019 and made available to all African Union countries, O&E will help strengthen African health systems by contributing to national capacities in risk profiling and contingency/response planning, and ensuring that slow and unpredictable funding does not continue to prevent African countries and partners from adequately responding to outbreaks and epidemics.