Life insurance industry shows resilience with record payouts

With assets under management totaling a staggering R4.5 trillion, the industry also achieved a solvency buffer of 2.0 – nearly double the Prudential Authority’s Solvency Capital Requirement (SCR) of 1.

- DIEKETSENG MALEKE

Figures released by Asisa reveal that life insurers paid out a record R639 billion in claims and benefits during 2024, making a record high. These payments, which included retirement annuities, retirement benefits, and claims related to life cover, disability, critical illness and income protection, offer vital financial support to policyholders and their beneficiaries during life’s most challenging moments.

Gareth Friedlander, a member of the Asisa Life and Risk Board Committee, highlighted the industry’s critical role in supporting the economy.

“Over the past five years, Asisa members have paid close to R3 trillion in claims and benefits to policyholders. These proceeds have often been used to fund living expenses, representing a significant economic contribution.”