News Africa30 Sep 2025

Namibia:Short-term insurance sector increases net profit by nearly 10% in 2024

| 30 Sep 2025

The short-term insurance sector in Namibia posted a combined net profit before tax of NAD762.3m ($44.1m) for the year ended 31 December 2024, according to the Namibia Financial Institutions Supervisory Authority (NAMFISA). This represents a 9.6% increase over 2023.

In its 2025 annual report, NAMFISA said that the increase in profit was primarily driven by the growth in new policies underwritten throughout the year.

Gross written premium

The industry’s gross written premium (GWP) rose by 18.1% to NAD5.5bn in 2024. The increase in the GWP was primarily driven by a higher volume of new policies underwritten, which resulted from a rise in motor vehicle sales due to an increase in business activities during the year. The property (personal), motor-only (personal), and motor-only (commercial) sectors accounted for the largest proportions of the GWP, representing 29.4%, 16.7%, and 13.6%, respectively.

The value of foreign insurance business declined by 21.5% to NAD484.1m in 2024. The miscellaneous and marine classes of insurance contributed the most to the decrease in premiums leaving the country for both Lloyd’s and non-Lloyd’s coverage, accounting for 36.3% and 45.0%, respectively.

The Lloyd’s and non-Lloyd’s markets primarily underwrite marine, miscellaneous, and aviation insurance risks, which have the potential to significantly impact individual insurers; therefore, a substantial portion of these risks is insured outside the country.

"The Namibian insurance market has demonstrated limited capacity to insure or retain such high-risk exposures," said the report. The authorities encourage local insurers to enhance their underwriting capacity through various interventions aimed at developing and strengthening local capabilities.

| Print
CAPTCHA image
Enter the code shown above in the box below.

Note that your comment may be edited or removed in the future, and that your comment may appear alongside the original article on websites other than this one.

 

Recent Comments

There are no comments submitted yet. Do you have an interesting opinion? Then be the first to post a comment.