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March 1994
More focusing

The Sage Group has announced a restructuring designed to sharpen the focus on its core businesses in financial services and property and to further strengthen management in these areas. This follows implementation during 1993 of the final phase...

March 1994
Third rate way

Several stories this month reveal how and why the personal lines insurance market is shrinking. For our regular report on motor insurance premiums we thought we’d look at the possibilities of buying third party, fire and theft cover instead of...

March 1994
Getting value for money

The aim of our editorial has always been to encourage consumers to help themselves. Through a wide range of articles we don’t so much as provide the answers as rather afford the reader the necessary tools for him to ask the right questions, and...

March 1994
All at sea

The shipping industry has much to learn from the way aviation has attained higher safety and management standards, according to a report by Cologne Re received by IUMI delegates in Stockholm recently.
Cologne Re decided to conduct a study of...

March 1994
Sky news

Hijackings are costing South Africans millions of rands every year in vehicle and cargo losses while the lives of drivers are endangered. The insurance implications can be severe and the cost of insurance is rising annually because of the losses...

March 1994
Left in the dark?

Mercantile & General continues its monthly guide on underwriting considerations of certain medical risks
Syncope is defined as a transient loss or depression of consciousness with spontaneous recovery. Near or pre-syncope is a less well...

March 1994
All a question of image

“Sir, you are drunk!”
“Madam, you are ugly But tomorrow I will be sober,” goes one of the many singular remarks attributed to Sir Winston Churchill.
But what do you do if someone in the public eye does disgrace himself and thereby...

March 1994
Sweet news?

In the new South Africa we can expect an increase in taxation, especially of ‘wealth taxes’, a broad-based capital transfer tax - probably on a sliding scale up to a maximum of 30% or 40%, is contemplated. This is the view of Southern Life’s AGM...

March 1994
Not today, thank you

Gross premiums of the direct insurers in South Africa rose less than 11% for the year ended 31st December 1992 to R9 552m. This compares to an increase of 22,4% the year before, even accounting for R92,6m of foreign business. ‘Direct’ insurers...

March 1994
Claiming a saving?

Recent press reports indicate that fewer members of the public are insuring than before. The implications of this need to be considered. For example, some people may hold the view that if the number of insureds increase so the insurance premiums...

March 1994
Fatal attraction

We are now spending R19,2m a day on road accidents with the number of collisions up by 2,6% to 444 541 for the calendar year 1991. This is according to the latest Annual Traffic Safety Audit by the Automobile Association (fifth edition).
The...

March 1994
Second half slip up

“For Guardian National 1993 was a year of fluctuating fortunes,” notes Keith Nilsson, the company’s MD. Speaking at a presentation of the year-end results on 21st February, he said, “One notable achievement was that gross premium income (GPI)...

March 1994
Snubbed in the foot

There is something deeply disturbing about certain trends in the short term insurance industry. It has to do with claims statistics, premium rates and the numbers of insured relative to the whole population. It doesn’t look good for the industry...

March 1994
A sheep in wolf’s clothing

Justified or not, short term insurers are going ahead with their planned heavy premium rate increases. Already, from 1st January 1994, increases of as high as 20% or even 30% were being applied to a range of insurances, especially those...

March 1994
Squabbling, more like

The Benefit Illustrations Agreement was introduced on 1st July 1983 to “prevent companies from making unsustainable claims in their advertising and promotional material about how policy values will grow.” Despite this, the BIA never had a smooth...

March 1994
Benefit discord on a cord

There’s a real set-to in the assurance industry right now with companies arguing over the ‘Benefit Illustrations Agreement’ (the BIA). One of 15 agreements laid down by the Life Offices’ Association (LOA), the BIA is intended to bring some order...

March 1994
Figuring it out

Robert Vivian, Professor of Insurance and Risk Management at Wits, answers another exam question in his regular series
The following question was taken from the recent examination of the new IISA course 511,Risk and insurance. The question...