Premiums issued by insurance companies operating in Mozambique amounted to 3.325 billion meticais (US$52.1 million) in the second quarter of 2019, a 30.26% drop from the amount recorded in the first quarter, the Insurance Supervision Institute said.
The Non-Life business, which accounts for most of the insurance coverage in the country, recorded a 31.73% contraction in the value of premiums in quarterly terms, from 4.22 billion meticais from January to March to 2.887 billion meticais from April to June.
The Fire segment was the one with the highest drop of 64.19%, as the premiums fell from 1.277 billion to 439.4 million meticais.
Life insurance also recorded a drop in premiums of 18.78% from 541.5 million to 439.8 million meticais, according to the quarterly accounts of the Insurance Supervision Institute of Mozambique.
Life and non-life premiums accrued since the beginning of the year amounted to 8.094 billion meticais (about US$126.9 million).
Empresa Moçambicana de Seguros (Life and Non-Life) ended the first half as the market leader, with a combined share in the two quarters of 20.8%, followed by Hollard Moçambique Companhia de Seguros (Non-Life), with 15%, ICE Seguros (Non-Life) with 13.3%, Seguradora Internacional Moçambique (Life and Non-Life) with 12.1% and Global Alliance Seguros (Life and Non-Life) with 9.8%.
Claims costs increased by 9.8% in the second quarter compared to the first quarter, from 2.329 billion to 2.557 billion meticais to 4.886 billion meticais in the first half.
Most of the claims occurred in the Fire segment, where costs for insurance companies increased 154% to 1.288 billion meticais.