• The Corporation posted a combined growth ratio of 88% compared to 96% in 2020.
• It experienced a higher claims ratio of 52% compared to 49% in 2020.
• This improved combined ratio resulted in underwriting margin of 12% from the 4% recorded in 2020.

Professional Insurance Corporation Zambia (PICZ) says it became the first insurance firm in the country to post Gross Written Premium in excess of K1 billion in 2021, representing 31% growth from K815 million Written in 2020.
Speaking during the presentation of its Annual Financial Report, Corporation Managing Director Moses Siame said the Company’s growth after profit rose from K35 million in 2020 to K45 million in 2021, an increase of 29 percent.
Mr. Siame, who is also Insurers Association of Zambia President, stated that this is despite the Covid-19 pandemic which affected business operations in the first quarter of 2021 as the Delta variant was fast gathering momentum in Zambia and within Professional Insurance.
He attributed the sound growth to the firm’s ability to keep its overall expenses ratio check at 38% compared to 43% in 2020, further attributing the profit growth to increased investment income of about 27% last year.
“Notwithstanding the fact that the Corporation posted a combined growth ratio of 88% compared to 96% in 2020, we experienced a higher claims ratio of 52% compared to 49% in 2020. This improved combined ratio resulted in underwriting margin of 12% from the 4% recorded in 2020.”
“Our focus will be to maintain a sustainable underwriting ratio and ensure that investments revenue continues to grow. Although subdued to 44% in 2021, (2022:64%), our solvency ratio reflects capital strength that was above the regulatory target,” Mr. Siame said.
Mr. Siame further disclosed that the Corporation scored another first in 2021 by becoming the first Zambian insurance firm to have a digital branch housing a skilled and dedicated digital back office support team.
He said this is in a bid to make it easy for its customers to purchase insurance in the new normal and also to easily on board existing clients.
“The branch is also equipped with multi-channel and diverse self-service platforms. In our estimation, this hybrid customer service model is no longer just a nice thing to have, but a critical component of our long term success.”
“We will continue investing in digital platforms, but this does not in any way mean the beginning of the end of our brick and mortar branches. Because of the nature of our insurance product, a good percentage of our customers prefer a hybrid experience over one that is entirely online,” he stated.
He expressed confidence that the Corporation needs to buckle up for accelerated growth in 2022 and shall pursue excellence and avoid the attendant pitfalls such as operational inefficiencies.
Gracing the occasion, Ministry of Finance Permanent Secretary for Development Cooperation, Monitoring and Evaluation Trevor Kaunda commended Professional Insurance for generating K1 billion premium last year from the initial K32, 000 reported in its first year of operation.
Mr. Kaunda said government is proud that a wholly Zambian owned Company has been able to excel and is currently the market leader in the general insurance market.
“This is also a clear testimony that Government has provided a conducive environment for business to thrive. Government holds the Insurance Sector in particular and the private sector at large in high esteem as it considers them solid partners in economic growth and national development.”
“We have also learnt that your Company is turning 30 years this year which is also another milestone. This can only demonstrate the strong vision that your shareholders have and the good leadership of the Management team that you have as guided by the Board of Directors,” Mr. Kunda said.
He also commended the Corporation for becoming one of the first Companies to launch a self-service Branch and urged other industry players to emulate the move.
“Allow me to commend your company for maintaining a strong Corporate Social Responsibility policy that enables you to give back to the community in which you operate. The Good Deeds Campaign launched today is a clear testimony and reflection of your engagements to help the community. We are reliably informed that your donations will go to schools, vulnerable women, children and promotion of health and wellness programs,” he added.
Meanwhile, Corporation Board Chairperson Susan Msoni revealed that South African based Global Rating Agency affirmed the Corporation’s financial strengths as a plus, with stable outlook for the eleventh year in a row, supported by the Company’s strong competitive position, sound earnings, strong capitalization and sufficient liquidity.
Mrs. Msoni stated that the Company, which has been operating in Zambia for over 30 years, has received tremendous support from various stakeholders and has therefore remained the leading Insurance firm in the country.
She noted that despite the high cost of doing business and various economic challenges that businesses faced last year, the Company managed to record a good performance.
“The economy is projected to expand by a softer pace in 2022. The New Government’s business friendly policies should attract private sector investments and create business opportunities that will foster economic growth. The economy is anticipated to grow at approximately 3.8 percent mainly driven by high copper prices which will go a long way in supporting the growth of the external sector, stable electricity supply, continued investment in information, communication and technology and possible deal with IMF.”
“Though the cost of doing business is likely to remain relatively high, the exchange rate and inflation are expected to stabilize during 2022.The potential increase in private sector investments presents a growth opportunity for the insurance sector. Overall, the prospects for 2022 look promising,” Mrs. Msoni stated.
Professional Insurance Corporation Zambia (PICZ), which has been in existence since 9th July 1992, turns 30 years this year with a focus to give back to the community where it operates and has since dubbed the campaign “30 Good Deeds.”
The Company has since partnered with Lusaka Fitness Squad to sponsor the inaugural Kenneth Kaunda Day Marathon with a donation of K100, 000.
The inaugural Kenneth Kaunda Day Marathon Day is due to take place on Thursday, 28th April, 2022, which also happens to be his birthday and has been designated as a public holiday by government.