Chamwe KairaÂ
Santam Limited reported strong results for the nine months ending 30 September, delivering growth across key areas and beating its long-term targets.
The company recorded double-digit growth in gross written and net earned premiums. Its underwriting margin stayed above the targeted 5 to 10% range, and its annualised return on capital exceeded 30%. Net income growth remained in line with the first half of the year.
On 7 April 2025, Allianz Europe BV acquired 8.59% in SanlamAllianz.
This resulted in a final shareholding split of 51% for Sanlam and 49% for Allianz. Sanlam Life Namibia was sold to SanlamAllianz with a financial effective date of 1 July 2024.
Before the sale, Sanlam owned 100% of Sanlam Life Namibia. After the transaction, Sanlam held an effective 59.59% stake.
In the conventional insurance segment, net earned premium growth reached 16%. Most major businesses performed well, although Santam Specialist Solutions faced competitive pressure.
MiWay maintained strong momentum with double-digit growth in gross written and net earned premiums. Business insurance delivered strong results, and personal lines growth picked up from June.
Santam Re also reported solid growth supported by strategic partnerships. Broker, Client, and Partner Solutions continued to perform steadily.
Gross written premiums increased by 10%. Growth across major insurance classes and a stronger in-force book supported underwriting performance.
The claims environment was favourable, keeping the net underwriting margin above target. Investment returns on insurance funds benefited from interest-rate conditions and reached 3% of net earned premiums.
Santam’s ART segment delivered strong operating results. Higher fee income, underwriting performance and investment margins supported this outcome.
Returns on capital portfolios were below expectations due to foreign currency translation losses.
In October, Santam issued N$2 billion in unsecured subordinated floating rate notes.
After paying an interim dividend in September, the group’s economic capital cover remained within the 145% to 165% target range.
Santam received in-principle approval from the Lloyd’s Council to establish a Santam Syndicate.
Final approval is expected by the end of 2025. The syndicate is intended to support international expansion and allow Santam to access specialist insurance classes through the Lloyd’s platform.
The company reported few major claims during the period but noted that conventional insurance remains exposed to weather-related and other large losses. Market volatility may affect returns on insurance funds and shareholder capital.
Caption
Santam Limited reported double-digit growth in both gross written and net earned premiums.
- Photo: Contributed
