The South African Insurance Association

Almost as old as South Africa itself, the South African Insurance Association began as the Council of Fire Insurance Companies back in 1907 when fire was the predominant insurable peril. It became the South African Insurance Association in 1973, but continues to represent the majority of short-term insurers in the country.

The association represents 60 short-term insurers including Auto& General, DialDirect, Discovery, Hollard, MiWay, Momentum, Mutual & Federal, New National Insurance, OUTsurance, Regent, Santam, Unity, and Alexander Forbes among others. The SAIA represents these companies to the public, to the government (especially regarding issues pertaining to legislation) and the media. It also provides these companies with a forum through which to discuss issues affecting insurance (such as petitions to the Department of Transport for compulsory third party insurance) as well as a means to share information.

South African Insurance Association fights crime and ignorance

The South African Insurance Association also fights insurance crime and fraud, having set up the South African Insurance Crime Bureau (SAICB) in 2008 to that end. The SAICB works with the SAIA and the South African Polices Service (SAPS) to combat crime while participating in Business Against Crime South Africa initiatives.

Educating the public on matters of insurance is also a primary goal of the SAIA, especially given the high number claims repudiated by insurance companies as a result of insureds not understanding their own insurance product. The need for the SAIA, then, to maintain the good reputations of its members is a priority.

While the Consumer Protection Act mandates that companies inform their consumers of their rights, the South African Insurance Association takes this a step further by regulating that 0.2% of insurance companies’ after tax profits go to consumer education and a further 0.2% to SAIA consumer education initiatives*.

The South African Insurance Association also administers the Association of Marine Underwriters in South Africa (AMUSA), the South African Machinery Insurers Association (SAMIA), the South African Pool for the Insurance of Nuclear Risks (SANP) and the Intermediaries Guarantee Facility Limited (IGF). For more information on the SAIA, visit their website.

*Member companies can opt out of this obligatory payment if they indicate that a percentage of profits has gone to such education initiatives.