Insurance could be described as a way to manage your risk. When you purchase insurance, you purchase protection against unexpected financial losses. The insurance company pays you or someone you choose if something bad happens to you. However, if you have no insurance and an accident happens, you may be responsible for all related costs.
How much money do you need to start an insurance company in South Africa?
In South Africa, the current minimum capital requirements is around ZAR10 million for a long-term insurer/reinsurer and ZAR5 million for short-term insurer/reinsurer.
What are the types of insurance in South Africa?
Funeral insurance: Whether it is your untimely death or the death of a loved one, burial and funerals can become very expensive. Insurance takes the financial stress and pressure off your loved ones at a time when they are mourning.
Accident and health insurance: What happens to a family when the breadwinner becomes ill or disabled? That’s what accident and health insurance is for. It can replace your income if you suddenly find yourself unable to continue working.
Unemployment insurance: In the unfortunate event that you get retrenched, it helps to know that you have insurance that will assist you and your family with financial security.
Home insurance: Home insurance not only covers damages due to fire, lightning etc, it also covers any permanent fittings inside your house.
Car insurance: Although car insurance is not compulsory, it is important to protect yourself in case of car theft, accidents, or fire.
Travel insurance: When travelling abroad it’s a good idea to cover yourself against risks such as unexpected medical costs or lost or stolen luggage.
Life insurance: The money you leave behind from life insurance can go a significant way to replacing your income for living expenses when you pass away.
Pet insurance
What courses do I need to become an insurance broker?
There is little or no formal education required to be an insurance broker. Most states only require a high school diploma or minimal postsecondary coursework. The following are degree programs for insurance brokers:
- Economics.
- Business administration.
- Finance.
- Accounting.
- Marketing.
- Psychology.
- Sociology.
- Communications.
How do I get my insurance license in South Africa?
The following are requirements to becoming an Insurance broker in South Africa:
- Have an Entry level Qualification.
- Earn a related bachelor’s degree.
- Add an internship to you insurance broker training.
- Obtain an insurance license.
- FIND A JOB.
- OBTAIN INSURANCE BROKER CERTIFICATION.
What do you need to sell insurance in South Africa?
To become a member of the SAIA you need to meet the following criteria: Your Company must be registered with the Financial Services Board (FSB). Your company must have a short-term insurance license and sell short- term insurance products. Your company must be a member of the Ombudsman for Short-term Insurance OSTI.
Who is the biggest insurance company in South Africa?
In 2021, the biggest insurance company in South Africa was, Old Mutual, it was the most valuable African insurance brand, with a brand value of 1.28 billion U.S. dollars. Second was Sanlam, with a brand value of 692 million.
How does insurance work in South Africa?
In South African law, there are majorly two types of insurance, namely indemnity insurance and non-indemnity insurance. Indemnity insurance is taken out to indemnify oneself against a loss. In other words, insurance is taken out so that one is reimbursed if one suffers a loss.
How many insurance brokers are in South Africa?
In South Africa , there are about insurance 55 companies including well-known insurers such as Santam, Old Mutual, Hollard, OUTsurance and MiWay, reinsurers such as Hannover Reinsurance and Munich Reinsurance and state-owned companies including Escap (which insures Eskom), Sasria (which insured against the July 2021 unrest).
Who regulates insurance companies in South Africa?
In South Africa, all important contracts of insurance and reinsurance business (as those terms are defined in the Insurance Act, see Question 3) are regulated by the Insurance Act, the STIA and the LTIA (as applicable)
