Property & casualty reinsurer Sompo International has strengthened its position in Africa through a Sompo Japan Nipponkoa Insurance (SJNK) executed partnership agreed with Africa’s largest financial service provider and insurance groups Sanlam Limited and SAHAM Finances.
This partnership gives Sompo access to new markets, connecting the re/insurer with both the largest financial group in South Africa, Sanlam, and the largest Pan-African insurance group excluding South Africa, SAHAM.
Sanlam’s subsidiaries; Santam and Sanlam Emerging Markets, are leading financial service providers of life and non-life insurance.
The size of the insurance market in Africa is U.S. $20 billion and, while only 1% of the total global market, with compound annual growth projected at 3.2%, Sompo is set to take advantage of the considerable remaining scope for developing this emerging re/insurance market.
Junichi Tanaka, Managing Executive Officer, Sompo Holdings, and SJNK, said; “We are delighted to announce this partnership today with two of the largest and best known financial groups in Africa.
“This alliance allows us to build Sompo’s reputation as a strong player in Africa by expanding our support to Japanese customers entering the continent. Through our new partners we will now have access to 27 African countries in total, more than double the presence of our peers across the continent, providing us with the largest scope of coverage in Africa.”
Santam is the largest non-life insurer in South Africa by gross written premiums; SAHAM Finances provides insurance, reinsurance, assistance and third-party administration services in 26 countries.
Nigel Frudd, Chief Strategy Officer, Sompo International, said the strategic collaboration with Sanlam and Saham “will allow us to bring the extensive global experience and broad product knowledge that SI possesses to our African clients.
“Many of SI’s specialty insurance products, such as crop, energy and weather risk, will be critical to aiding the future development of the continent. We look forward to strengthening the strong relationships with our partners through personnel exchanges as well as technical support across the region.”
Japanese private/public investment into African countries is expected to be U.S. $30 billion, with some private companies such as construction firms looking to actively promote high-quality Japanese infrastructure technologies to African countries, according to Sompo.
Since establishing an office in Johannesburg in April 2014, SJNK has consistently expanded its customer support and insurance market research system throughout Africa.
