What is Short Term Insurance?
A short term insurance policy provides cover against loss, damage, liabilities and more. You pay a premium (either monthly or annually) to an insurance company who in return provides the cover to compensate you when you suffer a loss on insured items.
Short Term Insurance In South Africa
The Short – Term Insurance Industry in South Africa
Report Coverage
This report is on the short term, or non-life insurance industry in South Africa which provides insurance (including reinsurance) of non-life business such as accident, fire, property, motor vehicle, marine, aviation, transport, travel, trade credit and liability insurance.
The report includes information on the state and size of the industry, financial indicators such as gross premiums and claims incurred, market shares, developments and corporate actions.
There are profiles of 55 companies including well-known insurers such as Santam, Old Mutual, Hollard, OUTsurance and MiWay, reinsurers such as Hannover Reinsurance and Munich Reinsurance and state-owned companies including Escap (which insures Eskom), Sasria (which insured against the July 2021 unrest) and the Road Accident Fund.
The Short Term Industry in South Africa
South Africa’s non-life insurance industry has been affected by pandemic-related claims, the weak economy and high crime levels.
While there was an increase in business interruption claims and reinsurance costs, the claims ratios of some classes of business, such as motor, improved due to the lockdown and fewer weather-related catastrophes.
Claims ratios in other classes, such as trade credit and consumer credit, increased due to defaults on credit caused by the lockdown.
Examples of Short Term Insurance
Short term policies basically apply to the possessions you might want to insure for limited periods of time. Some examples of short term insurance are:
- Homeowners or Buildings Insurance : Insurance of your home (the building itself) against damage
- Motor Vehicle Insurance: Insurance of your motor vehicle against damage, fire and theft
- Household Contents Insurance: Insurance of the contents of your home against damage and theft
- All Risks Insurance: Insurance of the belongings you carry around, such as cell phones, cameras, jewellery, etc.
Short Term Insurance Companies in SA
There are many short term insurance companies in South Africa. But, you’ll want to choose an insurance company that is reliable and affordable, covering all of your insurance needs. After all, you want to buy the absolute best foresight for the price of your premiums.
So, to be sure that you get the best cover available, for everything from homeowner’s insurance to all risks insurance, look no further than iWYZE!
Who is the best short term insurer in South Africa?
Virseker
Virseker (82.5) and Momentum (81.5) are the only two insurers on industry par (81.2) in the overall Customer Satisfaction measure. No leader emerged.
South Africa’s best and worst short-term insurers, according to customers.
| # | Insurer | Score |
|---|---|---|
| 1 | Virseker | 82.5 |
| 2 | Momentum | 81.5 |
| Industry Average | 81.2 | |
| 3 | Absa | 77.3 |
Who is the biggest short term insurer in South Africa?
Santam Insurance dominates this list boasting of a 22% market share and over 250% more income than its closest competitor. 86 of the top 100 JSE companies have found a home at Santam.
How many short term insurance companies are there in South Africa?
56 companies
There are profiles of 56 companies, including the traditional players such as Sanlam, and Old Mutual, reinsurers such as Hannover Re, GIC Re and Africa-Re, and public entities such as Sasria and Eskom’s Escap.