“Operational confidence remained high in spite of economic challenges in the financial system and the economy at large, as demonstrated by the relevant retention positions in the sector.”
This was statement that captured the state of premium retention capacity in Q2 of 2022. The endorsement which diverged split the retention positions of the life and non-life businesses. While life bourgeoned, non-life dipped but still remained above average with the regulator calling on the non-life insurers to have focused attention for improvement.
The National Insurance Commission, Bulletin of the Insurance Market which provided synopsis of the insurance market for the second quarter, cleared that, “The life business retention for the period was 93% while non-life recorded a ratio of 55% as the industry average stood at about seventy one (70.5%) percent.”
The statistics for non-life was different with a downside figures that was above average but a dip compared to the state of non-life same time last year. “The retention in the non-life despite reporting an above average level, relative to its prior position (59.4%) in the corresponding period of the preceding year, would require a focused attention for improvement as it declined by over four points representing eight percent, year on year.
