OLDWICK, N.J.--(BUSINESS WIRE)--In this A.M.BestTV episode, Charlotte Vigier, senior financial analyst, A.M. Best, reviews the market conditions and regulatory changes shaping the insurance sector in the 14 countries that make up the Conférence Interafricaine des Marchés d'Assurances (CIMA) zone in Francophone Africa. Click on http://www.ambest.com/v.asp?v=cima_english418 to view the entire program.
Companies operating within the CIMA zone have faced political and economic headwinds. However, despite these challenges, companies within the CIMA zone have managed to grow profitably in recent years.
“CIMA is an insurance regulatory body, which has the oversight of 14 Francophone and African countries,” said Vigier. “All 14 members have agreed to transfer their regulatory and legislative powers to the CIMA. The entire region is regulated by the CIMA code, which applies to insurance and reinsurance companies in the market. As of 2016, there were about 185 companies within the CIMA zone, most of which are non-life players.”
Vigier also drew attention to the viability of this market.
“It is very much a profitable market, which has been supported by good technical results on the life and non-life sides. Loss ratios over the last three years have typically been in the range of 40% for the different country members. Additionally, good investment returns have been supporting the performance of the market overall.”
To access a copy of a special report on this topic, titled, “Reforms in the CIMA Zone Pave the Way for Market Rationalisation,” please visit http://www3.ambest.com/bestweek/purchase.asp?record_code=271450.
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