The Santam group reported gross written premium (GWP) growth of 11% (9.5% excluding the impact of the Santam Structured Insurance acquisition in March 2017), and delivered excellent underwriting results under difficult economic circumstances.
A summary set of financial statements for 2018, prepared in accordance with IAS 34, is included in this integrated report.
The conventional insurance business reported a net underwriting margin of 9.2% compared to the 6.0% reported in 2017.
Listed equities achieved a negative return of 11% for the year ended 31 December 2018, relative to the SWIX benchmark (60% SWIX and 40% Capped SWIX) which delivered a negative return of 11.9%.
Santam follows a policy of managing its investment portfolios in a diversified manner. Our aim is to optimise investment income within the approved risk appetite profile.
Capital management and solvency
Capital management philosophy
Santam’s capital management philosophy is to maximise the return on shareholders’ capital within an appropriate risk appetite framework.