Fidelidade and Tranquilidade have regained market share in Mozambique, according to information from the Mozambique Insurance Supervision Institute (ISSM) for 2020.
More active in Non-Life and marginal presence in Life business, the Portuguese show themselves, since 2018, practically unchanged in the overall ranking of the 20 largest in the market, although with variations in their respective shares.
Fidelidade Non-Life, which in 2018 was 8th with a 3.5% share, has strengthened its market share to 4.2% in 2020, following eighth in the table. Tranquilidade Non-Life, meanwhile, which in 2018 was 11th in the overall ranking with 1.9% of the market, fell to 16th place in 2019 (0.8% share), recovering in 2020 to 1.1%, but slipping to 17th position among the top 20 in the country.
In Life insurance, Portuguese-headquartered companies occupy the last two positions in the 2020 ranking, respectively, Tranquilidade in 20th (0.1% share) and Fidelidade is 21st (0.04%).
In a market in which the overall value of insurance premiums was around 261 million euros, the ranking remained led by the state-owned Emose (Empresa Moçambicana de Seguros), followed by Hollard (13.9%) and ICE (11.1% share), which complete the 2020 podium.
The gross volume of premiums issued in the Life and Non-Life branches together rose to 19.21 billion meticais (around 260.77 million euros), growing 22% compared to the previous year, according to provisional data from ISSM. The Non-Life branch accounted for 86% of the sector in 2019 and, the following year, strengthened its weight in the market structure to 87.1%. Health (Sickness), Motor and Fire insurance stand out, in the same order, in the gross value of premiums.
Mozambique – Insurance Market
Supervisor’s figures for the first quarter of 2021 place London-based ICE (24.6% share) and South African Hollard (25.4%) jointly accounting for half of the non-life market, relegating Emose to third place (with 10.7% of production). In Life insurance, Sanlam (33.6%) and Emose (33.0%) take two thirds of the market.
Tranquilidade Companhia de Seguros has been operating in Mozambique since 2012 and the latest financial information available on the company’s website refers to 2018, a financial year that ended with a net profit of 7.57 million meticais. As for Fidelidade Companhia de Seguros – Non-Life, which has been active in the market since 2014, the Mozambican branch disclosed the 2020 accounts on its website, with net profits of approximately 14.5 million meticais.
Broker Sabseg holds 5% share in mediation
Insurance distribution in Mozambique flows significantly through the banking sector, leaving the mediation channel with a relative weight that in 2020 accounted for about 30% of insurance production.
With mediation processing overall about 5.7 billion meticals in insurance premiums, the local branch of Braga Sabseg closed the last quarter of the year with a 4.9% share, indicates the insurance institute.
In a ranking led by Poliseguros (17.4% share), followed by N Brokers (12.5%) and Aris (11.8%), Sabseg occupies 9th position among the most active mediators/brokers in the market.
According to the ISSM statistical series on insurance activity, the Portuguese broker ended 2019 in 8th place among the 13 largest, but with a 4.5% share.
