Service delivery and student protests send Sasria claims soaring

Media Release

Insurance claims at state-owned special risks insurer Sasria rose 31% last year due to service delivery and university student protests.

Total claims lodged with the insurer — which provides cover against special risks such as civil commotion, public disorder, strikes, riots and terrorism — amounted to R766m in the year to end-March 2017, up from R586m in 2015-16.

University protests accounted for R325m — about 42% of the R766m.

The number of claims increased by 22% over the previous year and the severity by 29%, Sasria MD Cedric Masondo pointed out in the company’s annual report, tabled in Parliament on Monday.

At the same time net insurance premium income experienced strong growth of nearly 10%, to R1.69bn from R1.54bn before.

The underwriting profit declined by 17.2% largely due to the high level of claims. Investment income grew to R437m from R318m.