Market Research Reports - Ken Research South Africa Personal Accident Insurance Market

Rising Demand to Assist Personal Accident Insurance in South Africa: Ken Research
A health insurance policy basically covers all essential health care like- all injuries, accidents
weather they occur in workplace, while travelling or at home. Other benefits depend on the
type of health insurance policy one takes. Also premium services and benefits are provided if
paid more for services.
Due to rises in medical costs day by day, people go for health and personal accident insurance
policy and many companies provide innovative and diverse schemes that are affordable enough
by the people. Some people take a limited coverage for major and serious conditions that may
happen in future. Some insurance policy covers a major percentage of the claim and the
remaining is paid by the consumer or policyholder.
Discovery Health has prolonged to be the largest medical insurer in South Africa with about 1.5
million members. It is very competitive for other players in the industry of personal accident
and health insurance in South Africa.
According to the report, “Personal Accident and Health Insurance in South Africa, Key Trends
and Opportunities to 2020”, South Africa healthcare industry is significantly impacted by the
launch of (NHI) National Health Care Insurance in direct as well as indirect way in its personal
accident and health insurance sector. In terms of total written premium, the personal accident
and health insurance is a small segment in whole insurance industry of South Africa and NHI will
considerably enlarge the segment.
In 2014, with 90 insurers, the personal accident and health segment was seen to be
overcrowded. Guard risk Insurance Company, Rand mutual Assurance Company Limited,
Monarch Insurance Company Limited, Constantia insurance Company Limited and Holland
Insurance Company Limited had been the top 5 companies which dealt with personal accident
and health insurance in South Africa.
In 2015, the segment of personal accident and health insurance has been observed to account
for about 4% in insurance gross written premium in South Africa. The personal accident and
health insurance leading distribution channel in South Africa are the brokers. They have been
the bridge between the final consumer and the insurance company. They play a vital role which
helps both the party and in return brokers get commission. Before informing consumer about
the insurance policy, broker needs to be fully educated regarding the policy and they need to
keep themselves up to date. In 2015, the five leading companies of personal and health
insurance segment in South Africa accounted for about 70.3% total gross.
In insurance industry of South Africa, personal accident and health insurance will remain and
important driver as the non-insured population are insured with the launch of HIV/AIDS
insurance which covers health insurance as well as life insurance companies.
The health insurance segment category has been the largest contributor of insurance industry
and will continue to remain at top because of its excessive demand. Many people in South