Life insurance premiums have declined in recent years as a result of weak economic activity and a general slowdown in growth prospects. Poverty and extremely low discretionary spending levels will continue to inhibit demand for various life products which are beyond the financial reach of much of the population. The expatriate community and the wealthy elite, along with a miniscule, yet emerging middle class will continue to be an important source of demand; however, this market will be affected by slowing levels of foreign direct investment as energy prices continue to flat-line. The expanding and aging of the population and higher life expectancy could translate into higher demand for life insurance; however, we hold the view that these variables will have a very limited positive impact on premium growth due to chronic widespread poverty, unemployment and discretionary spending limits. Life expectancy is expected to increase over the forecast period; however, the average life expectancy will linger below -- and we remain unconvinced that these factors will drive life premium growth forward over the course of our forecast period given the negative macroeconomic constraints that are present in the ...The expanding and aging of the population and higher life expectancy could translate into higher demand for life insurance; however, we hold the view that these variables will have a very limited positive impact on premium growth due to chronic widespread poverty, unemployment and discretionary spending limits. Life expectancy is expected to increase over the forecast period; however, the average life expectancy will linger below -- and we remain unconvinced that these factors will drive life premium growth forward over the course of our forecast period given the negative macroeconomic constraints that are present in the
...Progress on liberalisation of the oil and gas insurance market has been stalled with state-owned ENSA remaining dominant after taking over the role from Sonagol s AAA with criticism that it does not have the finance and experienced personnel to deal with the specific and technical nature of oil sector insurance. While premiums may be cheaper under the new model, oil companies fear that it will not work. There is a danger that ENSA will be unable to cover even minor offshore accidents. In May ----, ENSA and Banco Caixa Angola signed a partnership agreement on Authorization Debt Account (ADC), aimed for the payment of insurance products in the motoring, property, work and health segments in monthly, quarterly and half-yearly instalments. There is a danger that ENSA will be unable to cover even minor offshore accidents. ...The failure to enforce compulsory workplace accident and professional diseases insurance, which was introduced in ----, is reducing potential growth. By allowing employers to ignore their legal obligations, the non-life market is performing well below its potential.
...Life expectancy at birth, male, years Life expectancy at birth, female, years Population, --+, total, --- ---- ---- ----e ----f ----f ----f ----f ----f - -- -- -- --- --- --- --- --- --- e/f = BMI estimate/forecast. Source: National sources, BMI We see little on the horizon in terms of life sector premium growth to propel this specific insurance subsector ahead. ...
