FANAF 2019: the market situation
The event has not only provided the opportunity for the industry's professionals to develop their business. It has also allowed to confront the viewpoints and discuss the realities on the ground.
Issues relating to share capital increase in the CIMA area have been widely debated. The deadlines given to companies to increase their capital still raise questions, with insurers emphasizing the complexity of mergers and acquisitions solutions.
Regarding relations with banks, the authorities have highlighted in their reports the high rate of remuneration of bancassurance, the lack of preliminary information on the contracts' conditions and the shortcomings in the management of claims. The controls carried out by all the players to improve the financial services have also produced a tense effect with the decision, by some bankers, to cease heir bancassurance partnerships.
Another source of concern for traditional classes of business is taxation, with the recent emergence of a taxation of life contracts in Côte d'Ivoire and Cameroon. The risk would be to see the other countries of the zone follow these two regional drivers.
Electronic insurance and Takaful insurance have also been well debated. While these activities are now clearly identified as new growth relays, attention is now focused on upgrading the regulation to reassure investors and attract the funds necessary for their development. In order to regulate these operations, bills should be presented to the Council of Ministers by the end of the year 2019.
FANAF 2020 in Gabon
All eyes now turn to Libreville (Gabon), which will host the 44th FANAF General Assembly. The African Federation of Insurance Companies which expects even greater involvement from its members will continue, tirelessly until then, to share its field experience with the legislator.