The Santam Short-Term Insurance Barometer reveals that the majority of corporates and consumers polled in a landmark survey on insurance trends, see the challenging economy as the biggest risk in South Africa over the next two years, followed by political unrest and social change risk.
The study found that 67% of corporates and 91% of consumers saw the challenging economy as the biggest risk in the country.
Quinten Matthew, Executive Head of Specialist Business at Santam said the first-of-its-kind barometer in South Africa had been developed to accumulate deep insights into the general insurance sector.
“Our aim is to take the collective ‘temperature’ of consumers, intermediaries and corporates on an annual basis and to draw seminal conclusions which will highlight the contribution the insurance industry brings to the country besides protecting assets of consumers,” he said.
The study was collated polling more than 400 respondents that included intermediaries, corporates, commercial entities and consumers.
“The Barometer’s findings will allow the entire industry to add as much value as possible to South Africans who trust them with their insurance. We are also hoping that by highlighting trends and insights, we can convince more and more people to ensure they are adequately covered. In so doing, the Barometer will play a role in minimising the impact extreme weather events, accidents and crime have on our economy,” Matthew said.
The in-depth body of research showed the biggest concern among corporates and commercial entities in South Africa to be theft, followed by motor vehicle accidents and fire. On the consumer front, the top risks are motor vehicle accidents, burglary and theft.
Matthew said the Santam Insurance Barometer specifically measured the role of insurance in the economy, risk trends impacting South Africa, insurance as a risk mitigation tool, the role of intermediaries and the opportunities for the insurance industry in South Africa.