Liberty says its retail unit in SA is struggling to get new business
Indexed new business sales in the SA retail insurance unit increase 1% from a year before to R1.5bn
17 May 2019 - 08:54
byNick Hedley
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
Liberty CEO David Munro. Picture: Robert Tshabalala
Liberty Holdings says its retail insurance business in SA battled to lift new business volumes in the three months to end-March.
“The SA retail new business volumes remained under pressure, while the Liberty Corporate and Liberty Africa Insurance businesses have seen an improvement in new business inflows,” the group said on Friday.
Indexed new business sales in the SA retail insurance unit grew just 1% from a year before to R1.5bn.
Recurring premium new business sales were up 4%, though single premium new business sales declined.
As a result, that unit saw net customer cash outflows of R252m, versus inflows of R514m a year before.
“Intense focus on addressing the mix of new business volumes and margin across all business lines is continuing, together with strict discipline in managing the expense base,” Liberty said.
Liberty Corporate’s indexed new business sales rose 22% year on year to R209m.
In the Stanlib SA business, assets under management grew to R576bn from R549bn at the end of 2018.
Liberty Africa Insurance grew indexed new business volumes to R101m from R62m a year before, while assets under management in the Stanlib Africa unit were unchanged from the end of 2018 at R51bn.
“We expect the South African economic environment to remain subdued for most of 2019,” said Liberty, which is led by David Munro.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
Liberty says its retail unit in SA is struggling to get new business
Indexed new business sales in the SA retail insurance unit increase 1% from a year before to R1.5bn
Liberty Holdings says its retail insurance business in SA battled to lift new business volumes in the three months to end-March.
“The SA retail new business volumes remained under pressure, while the Liberty Corporate and Liberty Africa Insurance businesses have seen an improvement in new business inflows,” the group said on Friday.
Indexed new business sales in the SA retail insurance unit grew just 1% from a year before to R1.5bn.
Recurring premium new business sales were up 4%, though single premium new business sales declined.
As a result, that unit saw net customer cash outflows of R252m, versus inflows of R514m a year before.
“Intense focus on addressing the mix of new business volumes and margin across all business lines is continuing, together with strict discipline in managing the expense base,” Liberty said.
Liberty Corporate’s indexed new business sales rose 22% year on year to R209m.
In the Stanlib SA business, assets under management grew to R576bn from R549bn at the end of 2018.
Liberty Africa Insurance grew indexed new business volumes to R101m from R62m a year before, while assets under management in the Stanlib Africa unit were unchanged from the end of 2018 at R51bn.
“We expect the South African economic environment to remain subdued for most of 2019,” said Liberty, which is led by David Munro.
hedleyn@businesslive.co.za
Companies in this Story
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Most Read
Related Articles
Liberty working to reduce share price discount
STEPHEN CRANSTON: Real expertise needed at life insurers
Liberty’s profits decline despite major improvements in SA operations
Published by Arena Holdings and distributed with the Financial Mail on the last Thursday of every month except December and January.