Browsing: insurance

East Africa’s life insurance business experiencing growth

East Africa’s life insurance business is experiencing an upward growth trend fuelled by the increasing demand for life products among the middle class.

According to a survey done by Deloitte, the Middle class is the largest class for the life insurance business while the motor and medical business classes are among the most loss-making businesses. It suggested that insurers look into other emerging business classes that have the potential for growth for them to diversify their business.

According to the survey group, life faces slower growth compared to other business classes within the life insurance mostly due to price wars that have been prevalent among the industry players.

The rising costs of fraud give the insurers the challenge of being unable to adequately price risks which have led to deteriorated returns to equity.

It is estimated that fraud accounts of the total cost of insurance premiums for Kenya are 25 …