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- Momentum Investments\u2019 operating profit grew 75% to R255 million and new business volumes increased by 30% to R8.7 billion compared to the prior year. This strong growth was driven by earnings from annuities and structured products, as well as good expense management. Value of new business improved from R30 million to R64 million mainly due to solid growth in new business volumes and an improved business mix.<\/li>\n<\/ul>\n
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- Momentum Life\u2019s operating profit was up 17% to R284 million, while new business volumes declined by 14% to R1.7 billion. Value of new business declined to R12 million, which represents a new business margin of 0.7%. This was offset by improved morbidity experience, improved persistency as well as contained operating expenditure.<\/li>\n<\/ul>\n
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- Metropolitan Life\u2019s operating profit grew 21% year-on-year due to premium collections remaining close to pre-Covid levels, a change in the business mix towards more protection products and containment of expenses, which were flat year-on-year. The business achieved growth in its value of new business of 31%, despite a decline in new business volumes of 15%.<\/li>\n<\/ul>\n
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- Momentum Corporate\u2019s operating profit declined by 2% to R85 million and new business volumes declined by 50% to R1.2 billion. This was driven by significantly weaker mortality experience from the group insurance business, which saw a large increase in deaths claims relative to the prior year. This was offset by a significant improvement in the disability experience, with both income and lump-sum disability products delivering positive results. Expenses were contained at below inflation.<\/li>\n<\/ul>\n
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- Momentum Metropolitan\u2019s health business delivered operating profit growth of 24% to R56 million, mainly due to an improvement in administration fee income and good expense management, as well as lower claims on insurance products due to members deferring elective and non-emergency care. Profit growth was backed up by a 1% increase year-on-year in health membership, a good result considering the impact of the pandemic and the constrained economic environment.<\/li>\n<\/ul>\n
\nIn the Non-life insurance businesses, normalised headline earnings were up 77% year-on-year. Guardrisk\u2019s earnings declined by 3% to R85 million. This was mainly due to a further Covid-19 related provision for possible additional expenses related to renewal of reinsurance cover on business interruption cover, the group said.<\/p>\n
Meyer said that that the Covid-19 pandemic is unfortunately not over yet, and its future progression remains uncertain. \u201cThe impact of Covid-19 and the challenging economic conditions globally and in South Africa will continue to be felt in our business for some time.<\/p>\n
“Given the general decline in infections and deaths, we support the further opening of the economy to all sectors. However, we remain vigilant in safeguarding and supporting our clients and employees who are affected by Covid-19. We take heart from the new business trends across our retail business units that started to emerge during the quarter, and we believe that we continue to improve our competitive position.\u201d<\/p>\n
- Momentum Metropolitan\u2019s health business delivered operating profit growth of 24% to R56 million, mainly due to an improvement in administration fee income and good expense management, as well as lower claims on insurance products due to members deferring elective and non-emergency care. Profit growth was backed up by a 1% increase year-on-year in health membership, a good result considering the impact of the pandemic and the constrained economic environment.<\/li>\n<\/ul>\n
- Momentum Corporate\u2019s operating profit declined by 2% to R85 million and new business volumes declined by 50% to R1.2 billion. This was driven by significantly weaker mortality experience from the group insurance business, which saw a large increase in deaths claims relative to the prior year. This was offset by a significant improvement in the disability experience, with both income and lump-sum disability products delivering positive results. Expenses were contained at below inflation.<\/li>\n<\/ul>\n
- Metropolitan Life\u2019s operating profit grew 21% year-on-year due to premium collections remaining close to pre-Covid levels, a change in the business mix towards more protection products and containment of expenses, which were flat year-on-year. The business achieved growth in its value of new business of 31%, despite a decline in new business volumes of 15%.<\/li>\n<\/ul>\n
- Momentum Life\u2019s operating profit was up 17% to R284 million, while new business volumes declined by 14% to R1.7 billion. Value of new business declined to R12 million, which represents a new business margin of 0.7%. This was offset by improved morbidity experience, improved persistency as well as contained operating expenditure.<\/li>\n<\/ul>\n