South African Insurers Reported Strong 2025 Growth
A new industry survey highlights record profits for non-life insurers during a year of favorable market conditions.
Updated on Oct. 14, 2026 in Insurance
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The South African insurance sector delivered robust financial results in 2025, driven by a benign claims environment and higher interest rates. KPMG reported significant revenue growth for non-life insurers, though the reinsurance sector saw a decline in total revenue.
Why it matters
Strong 2025 performance suggests local insurers have successfully leveraged investment conditions to bolster profitability. These results provide a solid foundation as companies now look toward international expansion in markets such as India and the US.
Non-life insurance profit after tax jumped from R17.8 billion in 2024 to R23.7 billion in 2025. Additionally, the reinsurance sector saw its return on equity improve to 24 percent from 22 percent in the prior year.
The players
KPMG
This is a global professional services network that provides audit, tax, and advisory services to major industries.
The details
The analysis covered 48 entities, including 29 non-life insurers, 15 life insurers, and 4 reinsurers. To maintain competitiveness, firms are now integrating telematics, cashback rewards, and behaviour-linked pricing into their service models.
Timeline
In 2024, non-life insurance revenue reached R160.3 billion.
During 2025, the insurance industry achieved strong financial results.
In the first half of 2026, wildfires and severe storms affected the Western Cape.
The survey was published in 2026.
Market Dynamics
This performance reflects a cyclical upswing compared to previous periods where claims environments were more volatile. The current trend highlights how local insurers are positioning themselves within the broader global macroeconomic cycle to ensure sustainable equity returns.
Retail investors holding shares in major insurance firms may benefit from the sector's improved profit margins and expansion strategies. These positive results generally reflect a more stable industry that is actively pursuing growth in both domestic and international markets.
The takeaway
The sector has proven resilient through a period of favorable investment conditions and interest rate shifts. Customers should anticipate that insurers will continue to refine digital offerings like telematics to manage long-term retention.
Further reading
For more background on regional trends, visit the Insurance section.
Source note: This article includes information reported by Fanews.
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